What is the number of units of each product that must be


Hogtown Manufacturing Company produces the following three products: Saws, Knives, Measuring Tapes


                                                                  Saws          Knives          Measuring Tapes

Selling price per unit                                 $ 40.00       $ 16.00          $ 50.00
Variable costs per unit                                  28.00          12.00            30.00

The company has $76,000 of fixed costs and, on average, its sales have the following ratio: 4 saws, 3 knives and 2 measuring tapes.

a. What is the number of units of each product that must be sold for Hogtown to achieve its breakeven point:
Break-even point units                            Saws                 Knives                 Tapes

b. What would be the effect on the firm's breakeven point if the sales ratio changes to 2 saws, 3 knives and 4 measuring Tapes? Briefly explain your answer.

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Financial Accounting: What is the number of units of each product that must be
Reference No:- TGS01216710

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