Question
Wagner Enterprise sells two products, large tractors and small tractors. A large tractor sells for $55,800 per unit with variable costs of $25,668 per unit.
Wagner Enterprise sells two products, large tractors and small tractors. A large tractor sells for $55,800 per unit with variable costs of $25,668 per unit. Small tractors sell for $30,600 per unit with variable costs of $14,688 per unit. Total fixed costs for the company are $1,512,000. Wagner Enterprises typically sells two large tractors for every three small tractors.
Assuming the sales mix remains constant, how many large and small tractors are sold (in units) at Wagners break-even point?
Answer
_______ number of large tractors
Answer
______ number of small tractors
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