Dragon Sports Inc. manufactures and sells two products, baseball bats and baseball gloves. The fixed costs are $700,000, and the sales mix is 40% bats and 60% gloves. The unit selling price and the unit variable cost for each product are as follows:

Products	Unit Selling Price		Unit Variable Cost
Bats	$80		$60
Gloves	200		120

a. Compute the break-even sales (units) for the overall enterprise product, E. fill in the blank 1 units

b. How many units of each product, baseball bats and baseball gloves, would be sold at the break-even point?

Baseball bats	fill in the blank 2 units
Baseball gloves	fill in the blank 3 units

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	$1,600		$800		40%
Tablets	900		450		60%

The estimated fixed costs for the current year are $11,682,000.

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. fill in the blank 1 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	fill in the blank 2 units
Tablets	fill in the blank 3 units

3. Assume that the sales mix was 60% laptops and 40% tablets. Compare the break-even point with that in part (1). Why is it so different? fill in the blank 4 units

The break-even point is

lowerhigherthe same

in this scenario than in part (1) because the sales mix is

weighted more heavilyweighted less heavilynot weighted

toward the product with the higher

contribution margin per unitsalesvariable costs

of product.