Data for the next 2 questions:
Tamara Company sells two types of control systems – Basic andDeluxe - as follows:
Selling price per unit Variable expense per unit
Basic $120 $90
Deluxe $280 $220
Fixed monthly expenses total $300,000. The expected sales mix inunits is 60% for product Basic and 40% for Deluxe.
1. How many units of each product must be sold each month inorder to breakeven?
2. How many units of each product must be sold each month inorder to make $150,000 profit per month?
