Success Systems sells upscale modular desk units and office chairs in the ratio of 4:2 (desk unit:chair). The selling prices are $1,260 per desk unit and $510 per chair. The variable costs are $760 per desk unit and $260 per chair. Fixed costs are $162,500.

Required:

1.

Compute the selling price per composite unit.

2.

Compute the variable costs per composite unit.

3.

Compute the break-even point in composite units.

4.	Compute the number of units of each product that would be sold at the break-even point.