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Multiple-Product Break-even Cherry Blossom Products Inc. produces and sells yoga-training products: how-to DVDs and a basic equipment set (blocks, strap, and small pillows). Last year,
Multiple-Product Break-even Cherry Blossom Products Inc. produces and sells yoga-training products: how-to DVDs and a basic equipment set (blocks, strap, and small pillows). Last year, Cherry Blossom Products sold 8,980 DVDs and 4,490 equipment sets. Information on the two products is as follows:
DVDs Equipment sets
Price | $8.10 | $25.40 |
Variable cost per unit 4.20 15.00
Total fixed cost is $70,980.
Required:
2. Compute the break-even quantity of each product.
The break-even quantity for DVDs is ?
The break-even quantity for equipment sets is ?
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