Hald CoProduces and Sells Ultra,Super,and Mega and Has Total Fixed Costs

question 9

Essay

Hald Co.produces and sells Ultra,Super,and Mega and has total fixed costs of $52,000.Sales and cost data follow:
$\begin{array}{lrrr}&\text { Ultra}&\text { Super }&\text { Mega }\\\text { Sales price per unit } & \$ 6 & \$ 8 & \$ 10 \\\text { Variable costs per unit } & 4 & 6 & 7 \\\text { Sales mix } & 3 & 2 & 1\end{array}$

Calculate the break-even point in composite units.

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Definitions:

Processing Department

A specific department in a manufacturing operation where a set of processes or operations are performed on materials to convert them into finished goods.

Conversion Costs

The combined costs of direct labor and manufacturing overhead, representing the costs necessary to convert raw materials into finished goods.

Cost Per Equivalent Unit

A calculation used in process costing that determines the cost assigned to individual units of production, considering units that are partially completed.

Processing Department

A unit within a manufacturing facility where a specific type of production activity or process is carried out, such as assembly or painting.