Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Following is information about the Eclypso Company's two products Product X Product Y Unit selling price $10.00 $10.00 Unit variable costs: Manufacturing $6.00 $7.00 Selling
Following is information about the Eclypso Company's two products
Product X | Product Y | |
Unit selling price | $10.00 | $10.00 |
Unit variable costs: | ||
Manufacturing | $6.00 | $7.00 |
Selling | 1.00 | 1.00 |
Total variable costs | $7.00 | $8.00 |
Monthly fixed costs are as follows: | ||
Manufacturing | $90,000 | |
Selling and administrative | 50,000 | |
Total fixed costs | $140,000 |
What is the total monthly sales volume in units required to break-even when the sales mix in units is 80% Product X and 20% Product Y?
| a. | 8,333 units |
| b. | 56,667 units |
| c. | 16,667 units |
| d. | 50,000 units |
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