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3. Radison Inc. sells a product for $62 per unit. The variable cost is $42 per unit, while fixed costs are $86,400. Determine (a) the

3.

Radison Inc. sells a product for $62 per unit. The variable cost is $42 per unit, while fixed costs are $86,400.

Determine (a) the break-even point in sales units and (b) the break-even point if the selling price were increased to $69 per unit.

a. Break-even point in sales units
b. Break-even point if the selling price were increased to $69 per unit

5.

Michael Company has fixed costs of $476,250. The unit selling price, variable cost per unit, and contribution margin per unit for the companys two products follow:

Product Model Selling Price Variable Cost per Unit Contribution Margin per Unit
Yankee $270 $110 $160
Zoro 470 420 50

The sales mix for products Yankee and Zoro is 70% and 30%, respectively. Determine the break-even point in units of Yankee and Zoro.

a. Product Model Yankee fill in the blank 1 units b. Product Model Zoro fill in the blank 2 units

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