A company producing three products, viz., X,Y and Z has sales mix in the ratio of 2:1:3. The profit volume ratio of the products X, Y and Z are 15%, 30% and 20% respectively. The total fixed cost of the company is ₹3,50,

CS Executive · Cost and Management Accounting · PYQS · June 2016
A company producing three products, viz., X,Y and Z has sales mix in the ratio of 2:1:3. The profit volume ratio of the products X, Y and Z are 15%, 30% and 20% respectively. The total fixed cost of the company is ₹3,50,000. The break-even point of the company will be —
(A) ₹16,15,390
(B) ₹17,50,000
(C) ₹23,33,333
(D) ₹11,66,667

Answer & Explanation:

Correct Answer: Option (B)

Official answer key: (B).

Topics: Marginal Costing

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