Veejay Golf Accessories sells golf shoes, gloves, and a laser-guided range-finder that measures distance. Shown below are unit cost and sales data:

Fixed costs are $660,000.
Instructions
(a) Calculate the break-even point in units for the company.
(b) Determine the number of units to be sold at the break-even point for each product line.
(c) Verify that the mix of sales units determined in part (b) will generate a zero operating income.

Transcribed Image Text:

Pairs of Shoes $100 Pairs of Gloves Unit sales price Unit variable costs Unit contribution margin Sales mix $30 10 $20 50% Range-Finder $270 200 $ 70 10% 60 $ 40 40%