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Warner Corporation produces and sells two products. Data concerning those products for the most recent month appear below: Product I70O Product D23O Sales $26,000 $24,000
Warner Corporation produces and sells two products. Data concerning those products for the most recent month appear below:
Product I70O | Product D23O | |
Sales | $26,000 | $24,000 |
Variable expense | $9,100 | $900 |
Fixed expenses for the entire company were $38,200.
a.The break-even point for the entire company is closest to:
Group of choices: $11,800
$38,200
$47,750
$48,200
b. If the sales mix were to shift toward Product Product I70O with total sales remaining constant, the overall break-even point for the entire company:
Group of choices:
would decrease
would not change
would increase
could increase or decrease.
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