Solution-What is the breakeven point in dollars

What is the breakeven point in dollars

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Reference no: EM133143036

Question - Genie Company can produce two types of lamps, the Enlightner and Foglighter. The data on the two lamp models are as follows:

	Enlightner	Foglighter
Sales volume in units	520	420
Unit sales price	$300	$400
Unit variable cost	200	240
Unit contribution margin	$100	$160

It takes one machine hour to produce each product. Total fixed costs for the manufacture of both products are $100,000. Demand is high enough for either product to keep the plant operating at maximum capacity.

Required - Assuming that sales mix in terms of dollars remains constant, what is the breakeven point in dollars?

Reference no: EM133143036

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What is the breakeven point in dollars

Reference no: EM133143036

Reference no: EM133143036

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