The Matrix Company has three product lines of belts-A, B, and C-with contribution margins of $7, $5, and $4, respectively. The president foresees sales of 400,000 units in the coming period, consisting of 40,000 units of A, 200,000 units of B, and 160,000 units of C. The company's fixed costs for the period are $1,020,000. What is the total number of units required to breakeven? Answer:

Financial And Managerial Accounting
15th Edition
ISBN:9781337902663
Author:WARREN, Carl S.
Publisher:WARREN, Carl S.
Chapter15: Introduction To Managerial Accounting
Section: Chapter Questions
Problem 3CMA: A firm has 100,000 in direct materials costs, 50,000 in direct labor costs, and 80,000 in overhead....
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The Matrix Company has three product lines of belts-A, B, and C-with contribution margins of $7, $5, and $4,
respectively. The president foresees sales of 400,000 units in the coming period, consisting of 40,000 units of A,
200,000 units of B, and 160,000 units of C. The company's fixed costs for the period are $1,020,000.
What is the total number of units required to breakeven?
Answer:
Transcribed Image Text:The Matrix Company has three product lines of belts-A, B, and C-with contribution margins of $7, $5, and $4, respectively. The president foresees sales of 400,000 units in the coming period, consisting of 40,000 units of A, 200,000 units of B, and 160,000 units of C. The company's fixed costs for the period are $1,020,000. What is the total number of units required to breakeven? Answer:
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