QUESTION:

Anna Inc. sells two products as follows:

Product A Product B

Units sold $3,8004,$

$750$

Selling price per unit $$300$ $$450$

Variable costs per unit $$120$ $$270$

The company has the following fixed costs: Product A$,$ $$613,000,$ Product B$,$ $$1,023,000,$ and common fixed costs of $$410,000.$

Using the above information answer the following questions.

What is the package contribution margin?

HINT: this is a dollar value so please round to the nearest penny.

What is the break$-$even in packages?

How many units of Product A are required to break$-$even?

HINT: remember the entry rules for units.

How many units of Product B are required to break$-$even?

HINT: remember the entry rules for units.