Minot Furniture sells two models of desks to retail customers-basic and adjustable (for those who want the
Question:
Minot Furniture sells two models of desks to retail customers-basic and adjustable (for those who want the option to stand at their desk). Basic desks sell for $600 each and adjustable desks sell for $900 each. The variable cost of a basic desk is $360 and that of an adjustable desk is $450. Annual fixed costs at Minot Furniture are $243,000. The break-even point at the current sales mix is 750 total units.
Required
How many basic desks and how many adjustable desks are sold at the break-even level? In other words, what is the assumed sales mix?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Related Book For
Fundamentals of Cost Accounting
ISBN: 978-1259565403
5th edition
Authors: William Lanen, Shannon Anderson, Michael Maher
Question Posted: