Question

Camden Corporation sells three products (M, N, and O) in the following mix: 3:1:2. Unit price and cost data are:


M N O
Unit sales price $7 $4 $6
Unit variable costs 3 2 3

Total fixed costs are $340,000. The break-even point in sales dollars for the current sales mix is:
A. $20,000
B. $289,000
C. $400,000
D. $629,000
E. $740,000

Answer

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