Calculating breakeven point for two products


Question:

Calculating breakeven point for two products

Speedy's Scooters plans to sell a standard scooter for $55 and a chrome scooter for $70. Speedy's purchases the standard scooter for $30 and the chrome scooter for $40. Speedy expects to sell one standard scooter for every three chrome scooters. His monthly fixed costs are $23,000.

Requirements

1. How many of each type of scooter must Speedy's Scooters sell each month to break even?

2. To earn $25,300?

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Accounting Basics: Calculating breakeven point for two products
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