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Handy Home sells windows and doors in the ratio of 8:2 (windows doors). The selling price of each window is $200 and of each door
Handy Home sells windows and doors in the ratio of 8:2 (windows doors). The selling price of each window is $200 and of each door is $500. The variable cost of a window is $125 and of a door is $350. Fixed costs are $900,000. (1) Determine the selling price per composite unit. Quantity Selling Price per unit Windows $ 200.00 Doors 2 500.00 Total per composite unit 33.00 1.000.00 $ 1,033.00 (2) Determine the variable costs per composite unit. Quantity Variable costs per unit Windows 8 $ 125.00 Doors 21 350.00|| Total per composite unit $ 100.00 700.00 $ 800.00 Contribution margin per composite unit $ 1,033.00 800.00 Contribution margin (3) Determine the break-even point in composite units. Choose Numerator: Choose Denominator: I Break even units Break even units (4) Determine the number of units of each product that will be sold at the break-even point. Quantity Number of composite units to Unit sales at break-even point break even Windows Doors Total
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