Jackies Creamery sells fudge caramels and popcorn to consume
?Jackie\'s Creamery sells? fudge, caramels, and popcorn to consumers in the local community. The manager at the creamery sold 10 comma 000 units last year. Popcorn outsold fudge by a ratio of 2 to 1. Sales of caramels equaled sales of popcorn. Total fixed costs for? Jackie\'s Creamery are $ 11 comma 000. The managerial accountant reported the following? information: Product Unit Sales Prices Unit Variable Cost Fudge $ 9 $ 7 Caramels $ 5 $ 3 Popcorn $ 10 $ 8 The sales mix percentage of caramel corn based upon units is
Solution
Let units sold for Caramels be x and for Popcorns be y
Equation 1 5x=10y ; x=2y
Equation 2 5y/9 + x + y = 10000
5y + 9x + 9y = 90000
5y + 18y + 9y = 90000
32y = 90000
y = 2812.50 units
Hence,
10000
| Particulars | Fudge | Caramels | Popcorns |
| Units sold | 5y/9 | x | y |
| Selling Price | 9 | 5 | 10 |
| Sales | 10y/2 = 5y | 5x | 10y |
