Q4. BM Company sells two products, A and B. Product A sells for $15 per unit with variable costs of $10 per unit. Product B sells for $40 per unit with variable costs of $25 per unit. The ratio of total contribution margin to total sales dollars is 35%. Total fixed cost for this period is $140,000. BM Company typically sells four (4) Product As for every Product B [= Sales mix ratios are 80% for A, and 20% for B]. [20% of test]

a. What is the breakeven point in combined total sales revenue dollars? $_____________

b. Determine the breakeven point in numbers of A and B. Ans: ________ units of A; _________units of B.