Sales Mix and Break-Even SalesDragon Sports Inc. manufactures and sells two products, baseball bats and baseball gloves. The fixed costs are \$319,300, and the sales mix is 30% bats and 70% gloves. The unit selling price and the unit variable cost for each product are as follows:ProductsUnit Selling PriceUnit Variable Cost\$40\$30BatsGloves10060a. Compute the break-even sales (units) for both products combined.31,930 X unitsb. How many units of each product, baseball bats and baseball gloves, would be sold at break-even point?9,579 X unitsBaseball bats22,351 X unitsBaseball gloves

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Asked Jul 20, 2019
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Expert Answer

Step 1

Break-even sales:

Break-even sales is that level of sales at which there is no profit or no loss on the sale of goods because the firm can cover only its expenses and earns zero profits.

Step 2

(a)

Working note:

Thus, the overall contribution margin is \$31.

Step 3

(b)

The breakeven point is 3,090 in sales.

The breakeven point is...

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