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A Company Produces and Sells Two Products with the Following

question 52

Short Answer

A company produces and sells two products with the following details:
Product X Product Y
Selling Price £1 £1
Variable costs £0.45 £0.60
Fixed costs £1,212,000 per period
Total sales revenue is currently generated by the two products in the following proportions:
Product X 70 per cent
Product Y 30 per cent
Required: Calculate the break-even sales units per period, based on the sales mix assumed above.


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