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1What is their breakeven units for each of the three products? 2How much would they earn if they sold 5,000,000 chips? Their fixed costs to
1What is their breakeven units for each of the three products?
2How much would they earn if they sold 5,000,000 chips?
Their fixed costs to reopen the plant and support this product line will cost $75 million
Chip A | Chip B | Chip C | ||||
Price | 50 | 100 | 200 | |||
Variable costs | 20 | 35 | 50 | |||
sales mix | 50% | 30% | 20% |
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