Douglas Corporation produces and sells two models of vacuum cleaners, Standard and Deluxe. Company records show the following data relating to these two products:
Standard
Deluxe
Selling price per unit
$140
$155
Variable production costs per unit
$110
$116
Variable selling and admin. expense per unit
$15
$12
Expected monthly sales in units
600
1,200
The company”s total monthly fixed expense is $15,000.
The break-even in sales dollars for the expected sales mix is closest to:
A) $140,000
B) $85,000
C) $107,000
D) $98,000