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Sales Unit 40,000 40,000Selling price per unit $6.00 $18.00variable expense per unit $2.00 $10.00
The company's total fixed cost are $80,000, there are no beginning or ending inventories
Question 1What would be the per unit contribution for each of the two models
Question 2What is the break even analysis in terms of sales dollars if the sales mix remain constant?
Question 3If the sales mix is changes to 60,000 units of the school model and 20,000 units of the Hiker model, what will be the break even point in terms of sales dollars (for both)
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