Benjamin Co. has three products A, B, and C, and its fixed costs are $69,000. The sales mix for its products are 3 units of A, 4 units of B, and 1 unit of C. Information about the three products follows:
A B C
(a) Calculate the company's break-even point in composite units and sales dollars.
(b) Calculate the number of units of each individual product to be sold at the break-even point.
Definitions:
Certainty
The state of being sure or confident about something, often implying a lack of doubt.
Nonprogrammed Decisions
Choices enacted in reaction to scenarios that are distinct, ill-defined, highly unstructured, and carry significant implications for the organization.
Creative Problem Solving
An approach to problem-solving that involves out-of-the-box thinking and the generation of innovative solutions.
Ethical Problem
A situation that poses a moral dilemma, requiring an individual to choose between actions that are evaluated as right or wrong based on ethical principles.
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