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Sales Mix and Break-Even Analysis Conley Company has fixed costs of $17,802,000. The unit selling price, variable cost per unit, and contribution margin per unit
Sales Mix and Break-Even Analysis
Conley Company has fixed costs of $17,802,000. 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 | $180 | $99 | $81 | ||||||
Zoro | 225 | 135 | 90 |
The sales mix for products Yankee and Zoro is 80% and 20%, respectively. Determine the break-even point in units of Yankee and Zoro.
a. Product Model Yankee______units b. Product Model Zoro______units
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