The Travel Pro Company Sells Two Kinds of Luggage The Company's Total Fixed Costs Are Expected to Be $280,000

question 139

Multiple Choice

The Travel Pro Company sells two kinds of luggage.The company projected the following cost information for the two products: $\begin{array}{lrr}&\text { Rolling Bag }&\text { Carry-on Bag }\\ \text { Unit selling price } &\$250&\$120\\ \text { Unit variable cost } &\$110&\$80\\ \text { Number of units produced and sold}&4,000&6,000\end{array}$
The company's total fixed costs are expected to be $280,000.
Based on this information,what is the combined number of units of the two products that would be required to break even with the projected sales mix? (Round your answer to the nearest whole unit.)

• A) 3,500 units
• B) 3,111 units
• C) 1,556 units
• D) None of these is correct.