Question

Benjamin Co. has three products A, B, and C, and its fixed costs are $69,000. The sales mix for its products are 3 units of A, 4 units of B, and 1 unit of C. Information about the three products follows:
A B C
Projected sales in dollars"u00a6.. $192,000 $192,000 $64,000
Selling price per unit"u00a6"u00a6"u00a6. $40 $30 $40
Contribution margin ratio"u00a6... 30% 35% 35%

(a) Calculate the company's break-even point in composite units and sales dollars.
(b) Calculate the number of units of each individual product to be sold at the break-even point.

Answer

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