Norland Corporation produces and sells two products. In the most recent month, Product A15K had sales of $35,000 and variable expenses of $14,200. Product B72M had sales of $50,000 and variable expenses of $21,800. The fixed expenses of the entire company were $55,600. The break- even point for the entire company is closest to: a. $50,570.05 b. $88,324.27 c. $96,527.78 d. $55,634.58

Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter3: Cost Behavior
Section: Chapter Questions
Problem 26E: Starling Co. manufactures one product with a selling price of 18 and variable cost of 12. Starlings...
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Norland Corporation produces and sells two products. In
the most recent month, Product A15K had sales of $35,000
and variable expenses of $14,200. Product B72M had sales
of $50,000 and variable expenses of $21,800. The fixed
expenses of the entire company were $55,600. The break-
even point for the entire company is closest to:
a. $50,570.05
b. $88,324.27
c. $96,527.78
d. $55,634.58
Transcribed Image Text:Norland Corporation produces and sells two products. In the most recent month, Product A15K had sales of $35,000 and variable expenses of $14,200. Product B72M had sales of $50,000 and variable expenses of $21,800. The fixed expenses of the entire company were $55,600. The break- even point for the entire company is closest to: a. $50,570.05 b. $88,324.27 c. $96,527.78 d. $55,634.58
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