ABC Company manufactures two products, namely product A and product B. Data for the two products in mentioned below: Sales volume in units Sales price per unit Variable costs per unit Product A Product B 400 600 $750 $1,000 $300 $450 Determine the number of units of both the products to be produced at break-even level, assuming total fixed costs are $264,000. (Round intermediate calculations and final answer to zero decimal places.) Answer Choices: a. Break-even units for product A and product B are 207 units and 311 units respectively. b. Break-even units for product A and product B are 216 units and 324 units respectively. c. Break-even units for product A and product B are 207 units and 310 units respectively. d. Break-even units for product A and product B are 215 units and 324 units respectively.
ABC Company manufactures two products, namely product A and product B. Data for the two products in mentioned below: Sales volume in units Sales price per unit Variable costs per unit Product A Product B 400 600 $750 $1,000 $300 $450 Determine the number of units of both the products to be produced at break-even level, assuming total fixed costs are $264,000. (Round intermediate calculations and final answer to zero decimal places.) Answer Choices: a. Break-even units for product A and product B are 207 units and 311 units respectively. b. Break-even units for product A and product B are 216 units and 324 units respectively. c. Break-even units for product A and product B are 207 units and 310 units respectively. d. Break-even units for product A and product B are 215 units and 324 units respectively.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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