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4) Mount Carmel Company sells only two products, Product A and Product B. Product A Product B Total Selling price $40 $50 Variable cost per

4) Mount Carmel Company sells only two products, Product A and Product B.

Product A Product B Total
Selling price $40 $50
Variable cost per unit $24 $40
Total fixed costs $840,000

Mount Carmel sells two units of Product A for each unit it sells of Product B. Mount Carmel faces a tax rate of 30%. Mount Carmel desires a net after-tax income of $73,500. The breakeven point in units would be:

A) 21,750 units of Product A and 43,500 units of Product B

B) 22,500 units of Product A and 45,000 units of product B

C) 43,500 units of Product A and 21,750 units of Product B

D) 45,000 units of Product A and 22,500 units of Product B

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