Silver River Company sells Products S and T and has made the following estimates for the coming year:

Product	Unit Selling Price	Unit Variable Cost	Sales Mix
S	$30	$24	60%
T	70	56	40

Fixed costs are estimated at $202,400. Determine (a) the estimated sales in units of the overall product necessary to reach the break-even point for the coming year (5 pts), (b) the estimated number of units of each product necessary to be sold to reach the break-even point for the coming year (5 pts), and (c) the estimated sales in units of the overall product necessary to realize an operating income of $119,600 for the coming year (3 pts).

1. Break-even for overall units: ______________
2. Units of S needed: ___________ Units of T needed: _____________
3. Break-even for profit of $119,600: ______________

Answer rating: 100% (QA)

BreakEven PointTotal Fixed CostsWeighted Average Contributio... View the full answer