What is the break-even point in composite unit?

Baker Company's sale mix is 3 unit of A, 2 units
of B, and 1 unit of C. Selling prices for each
product are $10, $20, and $30, respectively.
Variable costs per unit are $6, $12, and $18,
respectively. Fixed costs are $160,000. What is the
break-even point in composite units?
A. 1,111.
B. 1,600.
C. 2,666.
D. 4,000.
E. 5,000.

Answers:
One composite unit produces gross edge of (3*4)+(2*8)+(1*12) = 12 + 16 + 12 = $40.00

To break even, get rid of $160000/$40 = 4000 composite unit.

To brand $40, flog 4001.

Good luck.

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