Awla Ltd. sells two products as follows: Product A Product B Units sold 2,625 3,500 Selling price per unit $400 $350 Variable costs per unit $160 $210 The company has the following fixed costs: Product A, $590,000, Product B, $883,200, and common fixed costs of $293,200. Using the above information answer the following questions. What is the package contribution margin? What is the break-even in packages? How many units of Product A are required to break-even? How many units of Product B are required to break-even?

Awla Ltd. sells two products as follows: Product A Product B Units sold 2,625 3,500 Selling price per unit $400 $350 Variable costs per unit $160 $210 The company has the following fixed costs: Product A, $590,000, Product B, $883,200, and common fixed costs of $293,200. Using the above information answer the following questions. What is the package contribution margin? What is the break-even in packages? How many units of Product A are required to break-even? How many units of Product B are required to break-even?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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