Penury company offers two products at present the following

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Penury Company offers two products. At present, the following represents the usual results of a month's operations:

 

Product K

Product L

 

 

Amount

Per Unit

Amount

Per Unit

Combined Amount

Sales revenue

$120,000

$1.20

$80,000

$0.80

$200,000

Variable expenses

 60,000

0.60

60,000

0.60

120,000

Contribution margin

$60,000

$0.60

$20,000

$0.20

80,000

Fixed expenses

 

 

 

 

50,000

Net operating income

 

 

 

 

$30,000

Find the break-even point in terms of dollars.

Reference no: EM13355885

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