Company A, makes and sells two types of shoes, Plin and Facy. Data concerning these products are as follows: Plin Facy Unit selling price ₱20.00 ₱35.00 Variable cost per unit 12.00 24.50 Sixty percent of the unit sales are Plin, and annual fixed expenses are ₱45,000. Assuming that the sales mix remains constant, the number of units of Plin that the company must sell to break even is: A. 2,000. B. 3,000. C. 3,375. D. 5,000. E. 5,625.
Company A, makes and sells two types of shoes, Plin and Facy. Data concerning these products are as follows: Plin Facy Unit selling price ₱20.00 ₱35.00 Variable cost per unit 12.00 24.50 Sixty percent of the unit sales are Plin, and annual fixed expenses are ₱45,000. Assuming that the sales mix remains constant, the number of units of Plin that the company must sell to break even is: A. 2,000. B. 3,000. C. 3,375. D. 5,000. E. 5,625.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Company A, makes and sells two types of shoes, Plin and Facy. Data concerning these products are as follows:
Plin Facy
Unit selling price ₱20.00 ₱35.00
Variable cost per unit 12.00 24.50
Sixty percent of the unit sales are Plin, and annual fixed expenses are ₱45,000.
Assuming that the sales mix remains constant, the number of units of Plin that the company must sell to break even is:
A. 2,000.
B. 3,000.
C. 3,375.
D. 5,000.
E. 5,625.
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