Problem $3-75($Algo$)$ Extensions of CVP Analysis$-$Multiple Products $($finding missing data$)($LO

$3-4)$

Philadelphia Sunglasses sells two models of glasses at its single retail location$-$The Shore and The Poconos. The Shore

model sells for $$218$ a pair and The Poconos model sells for $$495$ a pair. The variable cost of The Shore is $$158$

and that of The Poconos model is $$345.$ Annual fixed costs at Philadelphia Sunglasses are $$624,960.$ The break$-$even

point at the current sales mix is $8,400$ total pairs.

Required:

How many pairs of sunglasses of each model are sold at the break$-$even level?

What is the assumed sales mix?

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Break Even

How many pairs of sunglasses of each model are sold at the break$-$even level?