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Ramirez Corporation sells two types of computer chips. The sales mix is 30% (Q-C

ID: 2366102 • Letter: R

Question

Ramirez Corporation sells two types of computer chips. The sales mix is 30% (Q-Chip) and 70% (Q-Chip Plus). Q-Chip has variable costs per unit of $36 and a selling price of $60. Q-Chip Plus has variable costs per unit of $42 and a selling price of $78. Ramirez's fixed costs are $540,000. How many units of Q-Chip would be sold at the break-even point? a5,063 b5,869 c9,000 d11,813 2.MacCloud Industries has two divisions-Standard and Premium. Each division has hundreds of different types of tennis racquets and tennis products. The following information is available: Standard Division Premium Division Total Sales $400,000 $600,000 $1,000,000 Variable costs 280,000 360,000 Contribution margin $120,000 $240,000 Total fixed costs $270,000 What is the break-even point in dollars? a$750,000 b$771,429 c$794,118 d$97,200

Explanation / Answer

1c - 9000 2a- $750,000