HW Chapter 18 12 Problem 18-7A Break-even analysis with composite units LO P4 Patriot Co. manufactures and sells three products: red, white, and blue. Their unit selling prices are red, $20: white, $35; and blue. $65. The per unit variable costs to manufacture and sell these products arer reflected in a ratio of 5:4:2 (red white blue). Annual fixed costs shared by all three pr been used to manufacture all three products. The company has material would reduce variable costs per unit as follows: red, by $6; white, by $12; and blue, by $10. However, the new material requires new equipment, which will increase annual fixed costs by $50,000. 25 ed, $12 white, $22: and blue, $50. Their sales mix is for less cost. The new oducts are $250,000. One type of raw material has developed a new material of equal quality References Required: 1. Assume f the company continues to use the old material, determine its break even point in both sales units and sales dollars of each individual product. (Round composite units up to next whole number.) 20 00 35 00 65.00 100 00 140.00 130 00 370.00 6000 88 00 100 00 12 00 22 00