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Fixed cost

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Projected costs information for two products:

Unit selling price $250 $120
Unit variable costs $110 $80
number of units produced and sold 6,000 4,00
Company total fixed costs are expected to be $280,000
based on this information, what is the combined number of the two units that would be required to break-even (rounded to nearest whole unit).

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Solution explains how to calculate the combined number of the two units that would be required to break-even.

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