Question
Michael Company has fixed costs of $980,720. The unit selling price, variable cost per unit, and contribution margin per unit for the companys two products
Michael Company has fixed costs of $980,720. The unit selling price, variable cost per unit, and contribution margin per unit for the companys two products follow:
| Product Model | Selling Price | Variable Cost per Unit | Contribution Margin per Unit | ||||||
| Yankee | $950 | $470 | $480 | ||||||
| Zoro | 700 | 410 | 290 | ||||||
The sales mix for products Yankee and Zoro is 20% and 80%, respectively. Determine the break-even point in units of Yankee and Zoro.
a. Product Model Yankee fill in the blank 1 units b. Product Model Zoro fill in the blank 2 units
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Analysing Financial Statements For Non-Specialists
Authors: Jim OHare
2nd Edition
1138641529, 9781138641525
