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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.

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.

FINANCIAL ACCOUNTING
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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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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