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Hughes Company has fixed costs of $3,565,000. The unit selling price, variable cost per unit, and contribution margin per unit for the company's two products
Hughes Company hasfixed costsof $3,565,000. The unit selling price,variable costper unit, andcontribution marginper unit for the company's two products follow:
ProductSelling PriceVariable Cost per UnitContribution Margin per UnitModel 94$1,600$960$640Model 811,000800200
The sales mix for products Model 94 and Model 81 is 25% and 75%, respectively. Determine thebreak-even pointin units of Model 94 and Model 81 of the overall (total) product, E.
a.Product Model 94units
b.Product Model 81units
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