Question
Sales Mix and Break-Even Sales Data related to the expected sales of laptops and tablets for Tech Products Inc. for the current year, which
Sales Mix and Break-Even Sales Data related to the expected sales of laptops and tablets for Tech Products Inc. for the current year, which is typical of recent years, are as follows: Unit Variable Cost Products Laptops Tablets Unit Selling Price $1,200 700 $600 350 The estimated fixed costs for the current year are $6,750,000. Required: Sales Mix 40% 60% 1. Determine the estimated units of sales of the overall (total) product, E, necessary to reach the break-even point for the current year. units 2. Based on the break-even sales (units) in part (1), determine the unit sales of both laptops and tablets for the current year. Laptops Tablets units units 3. Assume that the sales mix was 60% laptops and 40% tablets. Compare the breakeven point with that in part (1), Why is it so different? units The break-even point is higher in this scenario than in part (1) because the sales mix is of product. toward the product with the Previous C
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