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Data related to the expected sales of laptops and tablets for Tech Products Inc. for the current year, which is typical of recent years, are

Data related to the expected sales of laptops and tablets for Tech Products Inc. for the current year, which is typical of recent years, are as follows:

Products Unit Selling Price Unit Variable Cost Sales Mix

Laptops $1,000 $500 40%

Tablets 600 300 60%

The estimated fixed costs for the current year are $6,384,000. Required: 1. Determine the estimated units of sales of the overall (total) product, E, necessary to reach the break-even point for the current year. units____

2. Based on the break-even sales (units) in part (1), determine the unit sales of both laptops and tablets for the current year.

Laptops units_____

Tablets units_____

3. Assume that the sales mix was 60% laptops and 40% tablets. Compare the breakeven point with that in part (1). Why is it so different?____ units

The break-even point is_____ in this scenario than in part (1) because the sales mix is_____ toward the product with the higher_______ of product.

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