SALES MIX – is the relative combination in which a company’s products are sold.

Different
products have different selling prices, cost structure, and contribution margin.

BEP ANALYSIS ON MULTIPLE PRODUCTS (SALES MIX)

DESCRIPTION SELLING PRICE UNIT VARIABLE COST UNIT CONTRIBUTION MARGIN NUMBER OF BOARDS
Surfboards 500.00 300.00 200.00 500
Surftails 1,000.00 450.00 550.00 300
TOTAL SOLD 1,500.00 750.00 750.00 800

DESCRIPTION NUMBER OF BOARDS % OF TOTAL

Surfboards 500 62.50%
Surftails 300 37.50%
TOTAL SOLD 800 100.00%

WEIGHTED CONTRIBUTION
DESCRIPTION UNIT CONTRIBUTION MARGIN % OF TOTAL WEIGHTED CONTRIBUTION
Surfboards 220.00 62.50% 125.00
MANO MANO COMPUTE
Surftails 550.00 37.50% 206.25
WEIGHTED AVERAGE 331.25

BEP
FIXED EXPENSE/ UNIT CONTRIBUTION MARGIN = BEP

Fixed Expense 170,000.00

WEIGHTED UCM 331.25
513.21 BREAK EVEN POINT

BREAKEVEN POINT OF SALES MIX

DESCRIPTION BREAKEVEN SALE % OF TOTAL INDIVIDUAL SALES

Surfboards 514 62.50% 321.25
MANO MANO COMPUTE
Surftails 514 37.50% 192.75
TOTAL SOLD 100.00% 514