The following question is from Chapter $7$

$4.$ A firm is selling two products $-$ chairs and bar stools $-$ each at $$50$ per unit. Chairs have a variable cost of $$25$ and bar stools $$20.$ The fist cost for the firm is $$20,000.(10$ points$)$

a$)$ If the salse mix is $1$:$1($one chair for every bar stool sold$).$ What is the break$-$even point dollars of sales? In units of chairs and bar stools?

$FC=(P_c-V{C}_c)**V_c+(P_b-V{C}_b)**V_b$

b$)$ If the sales mix changes to $1$:$4($one chair sold for every four bar stools sold$),$ what is the bre even point in dollars of sales? In units of chairs and bar stools?

$FC=(P_c-V{C}_c)**V_c+(P_b-V{C}_b)**V_b$