Madison Corporation Sells Three Products (M, N, and O) in the Following

Multiple Choice

Madison Corporation sells three products (M, N, and O) in the following sales mix: 3:1:2. Unit price and cost data are:


Total fixed costs are $340,000. The break-even point in sales dollars for the current sales mix is (round to the nearest thousand) :

A) $ 20,000.
B) $289,000.
C) $400,000.
D) $629,000.
E) $740,000.