Henning Corporation produces and sells two models of hair dryers, Standard and Deluxe. The company has provided the following data relating to these two products: The company's total monthly fixed expense is $13,800.
-The break-even in sales dollars for the expected sales mix is (rounded):

Question

Henning Corporation produces and sells two models of hair dryers, Standard and Deluxe. The company has provided the following data relating to these two products:  The company's total monthly fixed expense is $13,800.
-The break-even in sales dollars for the expected sales mix is (rounded):

Quizplus · Accepted Answer

The break-even point in sales dollars is calculated based on the expected sales mix and the contribution margin ratio. The correct answer is $30,000, which is the calculated break-even point for the given scenario.

Henning Corporation Produces and Sells Two Models of Hair Dryers