Barclay Enterprises Manufactures and Sells Three Distinct Styles of Bicycles

question 76

Multiple Choice

Barclay Enterprises manufactures and sells three distinct styles of bicycles: the Youth model sells for $300 and has a unit contribution margin of $105; the Adult model sells for $850 and has a unit contribution margin of $450; and the Recreational model sells for $1,000 and has a unit contribution margin of $500.
-The company's sales mix includes: 5 Youth models; 9 Adult models; and 6 Recreational models. If the firm's annual fixed costs total $6,500,000, calculate the firm's selling price per composite unit.

• A) $13,200.
• B) $7,575.
• C) $15,150.
• D) $1,255.
• E) $1,950.

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Definitions:

Illogical Cognitions

Thoughts or beliefs that lack a rational basis or coherent reasoning, often leading to flawed conclusions or decisions.

Thinking Patterns

Habitual ways or styles of thinking that determine the manner in which individuals perceive, interpret, and subsequently react to events, situations, and scenarios in their lives.

Rational Logical

Pertaining to the ability or process of reasoning in a clear, consistent, and deductive manner to solve problems or make decisions.

Cognitive-Behavioral

A therapeutic approach that focuses on changing negative thought patterns and behaviors to improve mental health.