XYZ Company produces two models of wood chairs, A and B. The selling price per...
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XYZ Company produces two models of wood chairs, A and B. The selling price per unit and the variable manufacturing cost per unit for model A are $240 and $140 respectively. The selling price per unit and the variable manufacturing cost per unit for model B are $320 and $152 respectively. The variable selling expense per unit for models A and B are $40 per unit and $48 per unit respectively. Assume that total fixed expenses are $158.400 per month and the expected monthly sales for models A and B are 7,200 units and 1,800 units respectively. If the sales mix and sales units are as expected, the break-even in sales (5) is: (round figures to the nearest number) Select one: O a. 563,200 b. None of the given answers c. 389,908 O d. 356,958 ee. 262.632 Company XYZ produces and sells headphones. The company has total fixed costs of $112.000. Each headphone sells for $175 per unit and has variable costs of $125 per unit. Next year XYZ Company wishes to earn an operating income that equals 50% of fixed costs. How many units must be sold to achieve this target income level? (rounded to the nearest number) Select one: O a. 1,120 O b. 3,360 c. 560 O d. 373 e. 2. 240
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