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How many cakes will be required to reach the breakeven point

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A bakery produces two types of cakes, a round cake and a heart-shaped cake. Total fixed costs for the firm are 592,000. Variable costs and sales data for these cakes are presented below.

                                 Round Cake                           Heart-shaped Cake

Selling price per unit 512                                     $20
Vanable cost per unit 58                                       515
Budgeted sales (units) 10.000                              15.000

Question 1: How many cakes will be required to reach the breakeven point?

A. 8.000 round cakes and 12,000 heart-shaped cakes.

B. 10.000 round cakes and 10,000 heart-shaped cakes.

C. 9.000 round cakes and 11,000 heart-shaped cakes.

D. 23.000 round cakes and 18.400 heart-shaped cakes

Reference no: EM132477531

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