Question
A company sells two products, Alpha & Beta. The sales mix of Alpha to Beta is 3:2. The contribution margin per unit for Alpha is
A company sells two products, Alpha & Beta. The sales mix of Alpha to Beta is 3:2. The contribution margin per unit for Alpha is $12 and the contribution margin per unit for Beta is $19. The companys fixed costs are $100,000. Using the composite unit method, how many units of Alpha must be sold to break even?
A. 2,703 units
B. 1,352 units
C. 4,054 units
D. 8,334 units
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Financial Accounting A Global Perspective
Authors: Robert Libby, Patricia Libby, Daniel G Short
5th Edition
0071107746, 978-0071107747
