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QUESTION

An organisation produces products A and B. The following data is available: Selling price per unit for Product A is $20 and for Product B is $25.

An organisation produces products A and B.  The following data is available:

Selling price per unit for Product A is $20 and for Product B is $25.

Variable costs per unit for Product A is $11 and for Product B is $18.

Sixty percent of sales in units are expected to be Product A.  Fixed costs are expected to be $82,000. 

How many units of Product A does the organisation need to sell to break-even?

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