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Break-Even with Multiple Products Warner Company has $230,000 of total fixed costs and sells products A and B with a product mix of 40% A
Break-Even with Multiple Products Warner Company has $230,000 of total fixed costs and sells products A and B with a product mix of 40% A and 60% B. Selling prices and variable costs for A and B result in contribution margins per unit of $7 and $3, respectively. Compute the break-even point.
Enter product mix answers in decimal form. Round weighted average unit contribution margin to two decimal places, if applicable.
Product | Product Mix | Contribution Margin per unit | Weighted average unit contribution margin |
---|---|---|---|
A | Answer | Answer | Answer |
B | Answer | Answer | Answer |
Answer |
Break-even point = Answer units
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