Question
The following data pertain to the three products manufactured by Centrica organisation: Product A Product B Product C Selling price per unit $10 $14 $12
The following data pertain to the three products manufactured by Centrica organisation:
| Product A | Product B | Product C |
Selling price per unit | $10 | $14 | $12 |
Variable cost per unit | $8 | $10 | $6 |
Contribution margin per unit | $2 | $4 | $6 |
Fixed costs are $90,000. The proportion of sales is as follows: sixty per cent of all units sold are Product A; twenty per cent of all units sold are Product B; and twenty per cent of all units sold are Product C.
What is the monthly break-even point for total units?
Select one:
A. 41,375 units
B. 10,000 units
C. 31,000 units
D. 28,125 units
E. 24,667 units
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