Question
Megan Company has fixed costs of $2,687,040. 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 $2,687,040. 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 | ||||||
| $590 | $270 | $320 | |||||||
| ZZ | 390 | 230 | 160 | ||||||
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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Auditing Theory And Practice
Authors: Jerry R. Strawser, Robert H. Strawser
9th Edition
0873939336, 978-0873939331
