Question
A firm is selling two products chairs and bar stools each at 75 per unit Chairs have a variable cost of 30 and bar stools
A firm is selling two products chairs and bar stools each at 75 per unit Chairs have a variable cost of 30 and bar stools 20 Fixed cost for the firm is 20 000 a If the sales mix is 1 1 one chair sold for every bar stool sold what is the break even point in dollars of sales In units of chairs and bar stools Round your unit answers to a whole number before calculating the breakeven point and round the break even point to the nearest whole number Answer is complete and correct Break even point Number of chairs Number of bar stools 30 000 200 200 b If the sales mix changes to 1 4 one chair sold for every four bar stools sold what is the break even point in dollars of sales In units of chairs and bar stools Round your unit answers to a whole number before calculating the breakeven point and round the break even point to the nearest whole number Break even point Number of chairs Number of bar stools Answer is complete but not entirely correct 32 920 x 76 380 x
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started