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Determine the break-even point in units of L and M

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Problem - Sales mix and break-even analysis - Figg Inc. has fixed costs of $420,000. The unit selling price, variable cost per unit, and contribution margin per unit for the company's two products are provided below.

Product

Selling Price

Variable Cost per Unit

Contribution Margin per Unit

L

$100

$80

$20

M

80

62

18

The sales mix for products L and M is 60% and 40%, respectively. Determine the break-even point in units of L and M.

Reference no: EM132881631

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