Question: Handy Home sells windows and doors in the ratio of

Handy Home sells windows and doors in the ratio of 8:2 (windows: doors). The selling price of each window is $200 and of each door is $500. The variable cost of a window is $125 and of a door is $350. Fixed costs are $900,000. Use this information to determine the
(1) Selling price per composite unit,
(2) Variable costs per composite unit,
(3) Break-even point in composite units,
(4) Number of units of each product that will be sold at the break-even point.


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  • CreatedNovember 29, 2013
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