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A company produces and sells two products. Data concerning those products for the most recent month appear below: Product Q91I Product J53Z sales $15,000 $11,000
A company produces and sells two products. Data concerning those products for the most recent month appear below:
Product Q91I Product J53Z
sales $15,000 $11,000
Variable expenses $5,850 $5,070
Fixed expenses for the entire company were $13,980.
a. Determine the overall break-even for the company. Show your Work.
b. If the sales mix shifts toward Product Q91I with no change in total sales, what will happen to the break-even point for the company? Explain.
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