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Sales Mix and Break-Even Analysis Michael Company has fixed costs of $1,830,220. The unit selling price, variable cost per unit, and contribution margin per unit for the company's two products follow: Product Selling Price Variable Cost per Unit Contribution Margin per Unit QQ $460 $320 $140 620 340 280 The sales mix for Products QQ and ZZ is 30% and 70%, respectively. Determine the break-even point in units of QQ and ZZ. If required, round vour answers to the nearest whole number.

Sales Mix and Break-Even Analysis Michael Company has fixed costs of $1,830,220. The unit selling price, variable cost per unit, and contribution margin per unit for the company's two products follow: Product Selling Price Variable Cost per Unit Contribution Margin per Unit QQ $460 $320 $140 620 340 280 The sales mix for Products QQ and ZZ is 30% and 70%, respectively. Determine the break-even point in units of QQ and ZZ. If required, round vour answers to the nearest whole number.

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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Sales Mix and Break-Even Analysis Michael Company has fixed costs of $1,830,220. The unit selling price, variable cost per unit, and contribution margin per unit for the company's two products follow: Product Selling Price Variable Cost per Unit Contribution Margin per Unit QQ $460 $320 $140 ZZ 620 340 280 The sales mix for Products QQ and ZZ is 30% and 70%, respectively. Determine the break-even point in units of QQ and ZZ. If required, round your answers to the nearest whole number.
Transcribed Image Text:Sales Mix and Break-Even Analysis Michael Company has fixed costs of $1,830,220. The unit selling price, variable cost per unit, and contribution margin per unit for the company's two products follow: Product Selling Price Variable Cost per Unit Contribution Margin per Unit QQ $460 $320 $140 ZZ 620 340 280 The sales mix for Products QQ and ZZ is 30% and 70%, respectively. Determine the break-even point in units of QQ and ZZ. If required, round your answers to the nearest whole number.
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