3.27 - New customers Upgrade customers CM $120 $80 Sales mix 50 50 Weighted CM $60 $40 $100 WACM BE = FC÷WACM = $14,000,000÷$100 = 140,000 units

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3.27 1. New customers Upgrade customers CM $120 $80 Sales mix 60% 40% Weighted CM $72 $32 $104 WACM BE = FC÷WACM = $14,000,000÷$104 =134,615.3846 units x 60% = 80,769.23077; 134,615.3846 x 40% = 53,846.15383 2. 200,000x 60% x $120 = $14,400,000 200,000x 40% x $ 80 = $ 6,400,000 Total CM = $20,800,000 - FC $14,000,000 Profit $ 6,800,000 3. Sales mix = 50% each
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Unformatted text preview: New customers Upgrade customers CM $120 $80 Sales mix 50% 50% Weighted CM $60 $40 $100 WACM BE = FC÷WACM = $14,000,000÷$100 = 140,000 units Sales mix = 90% and 10% New customers Upgrade customers CM $120 $80 Sales mix 90% 40% Weighted CM $108 $8 $118 WACM BE = FC÷WACM = $14,000,000÷$118 = 120,689.7 units...
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This note was uploaded on 07/07/2009 for the course ACCT 2102 taught by Professor Unknown during the Three '08 term at Queensland.

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