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Madison Corporation sells three products (M, N, and O) in the following mix: 3:2:1. Unit price and cost data are: M N O Unit sales
Madison Corporation sells three products (M, N, and O) in the following mix: 3:2:1. Unit price and cost data are:
| M |
| N |
| O | ||||||||
Unit sales price | $ | 6 |
| $ | 4 |
| $ | 5 |
| ||||
Unit variable costs |
| 3 |
|
| 3 |
|
| 3 |
| ||||
Total fixed costs are $340,000. The break-even point in composite units for the current sales mix (round to the nearest unit) is:
Choose one:
a. 102,000
b. 21,000
c. 21,250
d. NOT ENOUGH DATA TO ANSWER
e. 26,154
f. 31,000
g. 17,895
h. 24,000
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