Roddam Corporation produces and sells two products. Data concerning those products for the most recent month appear below: The fixed expenses of the entire company were $41,970. If the sales mix were to shift toward Product K09E with total dollar sales remaining constant, the overall break-even point for the entire company:
A) would increase.
B) could increase or decrease.
C) would not change.
D) would decrease.

Question

Roddam Corporation produces and sells two products. Data concerning those products for the most recent month appear below:  The fixed expenses of the entire company were $41,970. If the sales mix were to shift toward Product K09E with total dollar sales remaining constant, the overall break-even point for the entire company:
A) would increase. 
B) could increase or decrease. 
C) would not change. 
D) would decrease.

Quizplus · Accepted Answer

The Answer of Roddam Corporation produces and sells two products. Data concerning those products for the most recent month appear below:  The fixed expenses of the entire company were $41,970. If the sales mix were to shift toward Product K09E with total dollar sales remaining constant, the overall break-even point for the entire company:
A) would increase. 
B) could increase or decrease. 
C) would not change. 
D) would decrease.

Roddam Corporation Produces and Sells Two Products