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Break-even with Opportunity Costs 25% Cost...

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Accounting

Break-even with Opportunity Costs 25%
Cost Behavior 25%
Multiple Product Break-even 25%
NPV (extra credit) 15%
Sunk Costs 25%
115%
Sevall Surfware is a company that specializes in selling towels, swimsuits, and beach accessories.
The sales mix is 5:5:10 (i.e. for every 5 towels sold, 5 swimsuits and 10 beach accessories are sold).
Find the break-even point for each product. The company's annual fixed costs are $68,000.
Additionally, Sevall wants to achieve an operating profit of $102,000. How many units would it need to sell to achieve a profit of $102,000?
Selling Price Per Unit Variable Cost Per Unit
Towels 10 3
Swimsuits 25 10
Beach Accessories 15 9

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