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Figure 8-5
Information About the Harmon Company's Two Products Includes

Question 16

Multiple Choice

Figure 8-5
Information about the Harmon Company's two products includes:  Product X Product Y Unit selling price£9.00£9.00 Unit variable costs: Manufacturing £5.25£6.75 Selling .75.75 Total £6.00£7.50 Monthly fixed costs are as follows:  Manufacturing £82,500 Selling and administrative 45,000 Total £127,500\begin{array}{lrr}&\text { Product X} & \text { Product Y} \\\text { Unit selling price}&£9.00&£9.00\\\text { Unit variable costs:}\\\text { Manufacturing } & £ 5.25 & £ 6.75 \\\text { Selling } & .75&.75 \\\text { Total } &£6.00&£7.50\\\\\text { Monthly fixed costs are as follows: }\\\text { Manufacturing } & £ 82,500 \\\text { Selling and administrative } & \underline{45,000} \\\text { Total } & £ 127,500\end{array}
-Refer to Figure 8-5. If the sales mix in units is 50 per cent Product X and 50 per cent Product Y, the monthly break-even total monetary sales is


A) £150,000.
B) £450,000.
C) £510,000.
D) £630,000.

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