A company sells three products A, B and C in a 3:3:4 sales mix.

Sales price: A - $10 B -$8 C - $6

Variable cost: A - $7 B- $3 C - $3

Quantity sold A 6,000 B6000 C8000

Fixed costs are $36,000

A) 6% - Calculate breakeven in total sales dollars and in units of the 3 products

B) 5% - What is the total income the company can earn with this sales mix?

Say the sales mix changes to 4;3:3 with total quantity sold of 20,000

C) 6% -What is the breakeven point in sales dollars and units?

D) 5% - What is the total income the company can earn with this sales mix?

E) 3% - Explain why though the sale mix changed the income in parts B and D is the same