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What is the breakeven point in units for product a

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Reference no: EM133021542

Question - Mount Carmel Company sells only two products, Product A and Product B.

Product A Product B

Total Selling price $40 $50

Variable cost per unit $24 $40

Total fixed costs $870,000

Mount Carmel sells two units of Product A for each unit it sells of Product B. Mount Carmel faces a tax rate of 30%.

Required - What is the breakeven point in units for Product A assuming the sales mix is 3 units of Product A for each unit of Product B?

Reference no: EM133021542

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