Home Builders sells windows and doors in the ratio of 8:2 (windows:doors). The selling price of each window is $120 and of each door is $270. The variable cost of a window is $72.50 and of a door is $185.00. Fixed costs are $275,000.
(1) Determine the selling price per composite unit. (Omit the "$" sign in your response.)
Selling price per composite unit? $
(2)Determine the variable costs per composite unit (Round your answer to 2 decimal places. Omit the "$" sign in your response.)
Variable costs per composite unit? $
(3) Determine the break-even point in composite units. (Round your intermediate calculation to 2 decimal places.)
Break-even point in composite units? composite units
(4) Determine the number of units of each product that will be sold at the break-even point. (Round your intermediate calculation to 2 decimal places.)
- Unit sales of windows at break-even point? units
- Unit sales of doors at break-even point? units