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Michael Company has fixed costs of $814,880. The unit selling price, variable cost per unit, and contribution margin per unit for the company's two products
Michael Company has fixed costs of $814,880. 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
QQ $740 $480 $260
ZZ 560 440 120
The sales mix for Products QQ and ZZ is 40% and 60%, 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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