Question
Sales Mix and Break-Even Analysis Michael Company has fixed costs of $937,500. The unit selling price, variable cost per unit, and contribution margin per unit
Sales Mix and Break-Even Analysis
Michael Company has fixed costs of $937,500. The unit selling price, variable cost per unit, and contribution margin per unit for the company's two products are provided below.
| Product | Selling Price | Variable Cost per Unit | Contribution Margin per Unit | ||||||
| Q | $340 | $160 | $180 | ||||||
| Z | 220 | 140 | 80 | ||||||
The sales mix for products Q and Z is 70% and 30%, respectively. Determine the break-even point in units of Q and Z. If required, round your answers to the nearest whole number.
a. Product Q units b. Product Z units
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Accounting For Real Estate Transactions
Authors: Maria K. Davis
2nd Edition
0470603380, 978-0470603383
