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Megan Company has fixed costs of $1,080,800. The unit selling price, variable cost per unit, and contribution margin per unit for the company's two products
Megan Company has fixed costs of $1,080,800. The unit selling price, variable cost per unit, and contribution margin per unit for the company's two products follow:
Product | Selling Price | Variable Cost per Unit | Contribution Margin per Unit | ||||||
$320 | $160 | $160 | |||||||
ZZ | 450 | 390 | 60 |
The sales mix for Products QQ and ZZ is 80% and 20%, respectively. Determine the break-even point in units of QQ and ZZ. If required, round your answers to the nearest whole number.
a. Product QQ _________ units b. Product ZZ ___________ units
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