French Publishers, Inc. of New Albany, Indiana sells two books, Basic Financial Accounting (BFA) and...

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Accounting

French Publishers, Inc. of New Albany, Indiana sells two books, Basic Financial Accounting (BFA) and Basic Managerial Accounting (BMA). Present revenue, cost, and sales data for the two products are:

BFA BMA

Units sold 4,000 2,000

Selling price per book. $200 $250

Variable expenses per unit. $150 $225

Fixed expenses total $500,000 annually.

What is the breakeven point in total sales dollars (for both products), assuming the same sales mix of product sold (select the closest answer)?

$1,800,000

$2,000,000

$2,600,000

$2,200,000

None of the Above

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