Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Sales Mix and Break-Even Analysis Megan Company has fixed costs of $1,261,650. The unit selling price, variable cost per unit, and contribution margin per unit
Sales Mix and Break-Even Analysis
Megan Company has fixed costs of $1,261,650. The unit selling price, variable cost per unit, and contribution margin per unit for the company's two products follow:
Product | Selling Price | Variable Cost per Unit | Contribution Margin per Unit | ||||||
$640 | $280 | $360 | |||||||
ZZ | 860 | 720 | 140 |
The sales mix for Products QQ and ZZ is 25% and 75%, respectively. Determine the break-even point in units of QQ and ZZ. If required, round your answers to the nearest whole number.
a. Product QQ fill in the blank 1 units b. Product ZZ fill in the blank 2 units
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started