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Calculate the break-even quantity of each product

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Reference no: EM132537810

A company manufactures two products. Information about the two product lines for the current year is as follows:

Product A

Selling price per unit $90

Variable costs per unit $50

Product B

Selling price per unit $120

Variable costs per unit $60

Question 1: The company expects fixed costs to be $70,000. Calculate the break-even quantity of each product when the sales mix is 2:1.

Option A. 1,145 units, 572 units

Option B. 1,250 units, 625 units

Option C. 1,110 units, 555 units

Option D. 1,000 units, 500 units

Reference no: EM132537810

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