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The Sales Mix Percentages for Novotna's Boston and Seattle Divisions

Question 32

Multiple Choice

The sales mix percentages for Novotna's Boston and Seattle Divisions are 70% and 30%. The contribution margin ratios are: Boston (40%) and Seattle (30%) . Fixed costs are $2,220,000. What is Novotna's break-even point in dollars?


A) $777,000
B) $6,000,000
C) $6,342,856
D) $6,727,272

Correct Answer:

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