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Data related to the expected sales of laptops and tablets for Tech Products Inc. for the current year, which is typical of recent years, are as follows:
|Products||Unit Selling Price||Unit Variable Cost||Sales Mix|
The estimated fixed costs for the current year are $11,682,000.
1. Determine the estimated units of sales of the overall (total) product, E, necessary to reach the break-even point for the current year.
2. Based on the break-even sales (units) in part (1), determine the unit sales of both laptops and tablets for the current year.
3. Assume that the sales mix was 60% laptops and 40% tablets. Compare the break-even point with that in part (1). Why is it so different?
The break-even point is