Compute the break-even sales units for the overall product


New Wave Technology Inc. manufactures and sells two products, MP3 players and satellite radios. The fixed costs are $300,000, and the sales mix is 40% MP3 players and 60% satellite radios. The unit selling price and the unit variable cost for each product are as follows:

603_Compute the break-even sales.PNG

(a) Compute the break-even sales (units) for the overall product, E.

(b) How many units of each product, MP3 players and satellite radios, would be sold at the break-even point?

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Accounting Basics: Compute the break-even sales units for the overall product
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