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Compute the break even sales

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Required:

a. Compute the break even sales (units).

b. How many units of each product, MP3 players and satellite radios, would be sold at the break even point?

Sales Mix and Break-Even Sales
New Wave Technology Inc. manufactures and sells two products, MP3 players and satellite radios. The fixed costs are $655,000, and the sales mix is 20% MP3 players and 80% satellite radios. The unit selling price and the unit variable cost for each product are as follows:

Products                Unit Selling Price      Unit Variable Cost

MP3 players                             $60                               $50

Satellite Radios                        150                                90

Reference no: EM131148645

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