Business Solutions sells upscale modular desk units and office chairs in the ratio of 3:2 (desk unit:chair). The selling prices are $1,250 per desk unit and $500 per chair. The variable costs are $750 per desk unit and $250 per chair. Fixed costs are $120,000.

Required:

1. Compute the selling price per composite unite
2. Compute the variable costs per composite unit.
3. Compute the break-even point in composite unit.
4. Compute the number of unitsd of each product that would be sold at the break-even point.

It will be very healpful if you follow like attached screenshot

Chapter 21 Multi-Product Break Even Point Serial Problem Worksheet Two Types of Products Sell Price Variable Composite Composite Cost Usual Variable Mix Sales Costs Desk Chair Total Fixed Cost per year Contribution Margin $0 per composite Unit Break Even Units = Fixed Cost/ Contribution margin per unit Break Even Units = #DIV/O! CompositeUnits Two Types of Products Mix Sale Units Windows #DIV/O! Doors #DIV/O