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The HoltTec Company Manufactures Two Products The Company Expects Fixed Costs to Be $192,000

Question 122

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The HoltTec Company manufactures two products. Information about the two product lines for the year is as follows:  Model  Basic  Deluxe Model  Sales price per unit $70$100 Variable costs per unit 3040 Contribution margin per unit $40$60\begin{array}{lcc}\text { Model } &\text { Basic }&\text { Deluxe Model }\\\text { Sales price per unit } & \$ 70 & \$ 100 \\\text { Variable costs per unit } & \underline{30} & \underline{40} \\\text { Contribution margin per unit } & \underline{\$ 40} &{\underline{\$ 60}}\end{array} The company expects fixed costs to be $192,000. The firm expects 60% of its sales (in units) to be Basic Model.
Required: Calculate the break-even point in units for both Basic Model and Deluxe Model.

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