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Whiting Company Sells a Mix of Three Related Products Determine the Company's Break-Even Point in Composite Units

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Essay

Whiting Company sells a mix of three related products. Total fixed costs are $144,000. The following additional information is available for Whiting Company.
 Sales  Mix  Variable  Cost/Unit  Sales  Price/Unit X4$4$9Y4$8$14Z2$715\begin{array} { l | c | c | l } & \begin{array} { c } \text { Sales } \\\text { Mix }\end{array} & \begin{array} { c } \text { Variable } \\\text { Cost/Unit }\end{array} & \begin{array} { l } \text { Sales } \\\text { Price/Unit }\end{array} \\\hline \mathrm { X } & 4 & \$ 4 & \$ 9 \\\hline \mathrm { Y } & 4 & \$ 8 & \$ 14 \\\hline \mathrm { Z } & 2 & \$ 7 & 15\end{array}



Determine the company's break-even point in composite units.


Definitions:

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