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Madison Corporation sells three products (M, N, and O) in the following sales mix: 3:1:2. Unit price and cost data are: MNOUnit sales price$12$10$11Unit variable

Madison Corporation sells three products (M, N, and O) in the following sales mix: 3:1:2. Unit price and cost data are:

MNOUnit sales price$12$10$11Unit variable costs989

Total fixed costs are $585,000. The break-even point in composite units for the current sales mix (round to the nearest unit) is:

Multiple Choice

  • 39,000
  • 17,727
  • 169,000
  • 117,000
  • 78,000

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