Assume that Bisque Co. sold 12,000 units of Product A and 18,000 units of Product B in the last year. The unit contribution margins for Products A and B are $10 and $20 respectively. Bisque has fixed costs of $640,000. The break-even point in units is _____. a. 26,000 units b. 16,000 units c. 27,500 units d. 40,000 units
Assume that Bisque Co. sold 12,000 units of Product A and 18,000 units of Product B in the last year. The unit contribution margins for Products A and B are $10 and $20 respectively. Bisque has fixed costs of $640,000. The break-even point in units is _____. a. 26,000 units b. 16,000 units c. 27,500 units d. 40,000 units
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Assume that Bisque Co. sold 12,000 units of Product A and 18,000 units of Product B in the last year. The unit contribution margins for Products A and B are $10 and $20 respectively. Bisque has fixed costs of $640,000. The break-even point in units is _____.
a.
26,000 units
b.
16,000 units
c.
27,500 units
d.
40,000 units
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education