Answer to Question #314057 in Marketing for Arok

Question

Required: Answer the following

1. What is the sales mix of videos and equipment sets

2. Compute weighted average contribution margin

3. Compute the break-even quantity of each product.

4. What is weighted average contri

Answer 1

The weighted average marginal revenue is the average amount that a collection of goods or services contributes to the reduction of a company's fixed costs. Breakeven analysis, which is used to estimate profit levels for varied amounts of sales, relies heavily on this notion.