Barclay Bikes manufactures and sells three distinct styles of bicycles: The Youth model sells for $500 and
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Question:
Barclay Bikes manufactures and sells three distinct styles of bicycles:
The Youth model sells for $500 and has a unit contribution margin of $175;
The Adult model sells for $900 and has a unit contribution margin of $315;
The Recreational model sells for $1,460 and has a unit contribution margin of $511.
The company's sales mix includes:
5 Youth models;
9 Adult models;
6 Recreational models.
If the firm's annual fixed costs total $5,110,000, calculate the firm's break-even point in total sales dollars.
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