There are two plants of a given company, A and B. Both the plants produce same articles. The selling price of the articles is INR 650 per unit. Look at the data, given in
Table 5.16 The available data
Plant A |
Plant B |
|
Capacity units |
10,000 |
15,000 |
Variable cost per unit |
400 |
540 |
Fixed expenses |
11,00,000 |
12,30,000 |
Calculate the breakeven point for the two plants and for the company as whole. Assume a) a constant sales mix and b) variable sales mix.