Business Solutions sells upscale modular desk units and office chairs in the ratio of 2:1...
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Business Solutions sells upscale modular desk units and office chairs in the ratio of 2:1 (desk unit:chair). The selling prices are $1,240 per desk unit and $490 per chair. The variable costs are $740 per desk unit and $240 per chair. Fixed costs are $143,750. Required: 1. Compute the selling price per composite unit. 2. Compute the variable costs per composite unit. 3. Compute the break-even point in composite units. 4. Compute the number of units of each product that would be sold at the break-even point.
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