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Sheffield Inc manufactures model airplanes and repair kits. The planes account for 80% of the sales mix, and the kits the remainder. The variable cost
Sheffield Inc manufactures model airplanes and repair kits. The planes account for 80% of the sales mix, and the kits the remainder. The variable cost ratio for the planes is 85% and 70% for the kits. Fixed costs are $45000. Compute the breakeven point in sales dollars.
A. $150000
B. $375000
C. $250000
D. $300000
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