question archive Question 4 Lawn Chopper Company sells two types of lawn mowers
Question 4 Lawn Chopper Company sells two types of lawn mowers. The first one is a basic lawn mower, which has variable costs of $50 and sells for $150. The second type is a riding tractor with variable costs of $500 and which sells for $1,500. The company has total fixed costs of $5,000,000. The sales mix for the company is three lawn mowers to one riding tractor. Your manager would like to know how many of each of the product the company must sell to break even.