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The Travel Pro Company sells two kinds of luggage. The company projected the following cost information for the two products: Rolling BagCarry-on BagUnit selling price$250$120Unit
The Travel Pro Company sells two kinds of luggage. The company projected the following cost information for the two products:
Rolling BagCarry-on BagUnit selling price$250$120Unit variable cost$110$80Number of units produced and sold4,0006,000
The company's total fixed costs are expected to be $280,000.
Based on this information, what is the combined number of units of the two products that would be required to break-even with the projected sales mix(round your answer to the nearest whole unit)?
Multiple Choice
- 3,500 units
- 3,111 units
- 1,556 units
- None of these is correct.
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