McCoy Brothers manufactures and sells two products, A and Z in the ratio of 5:2. Product A sells for $75; Z sells for $95. Variable costs for product A are $35; for Z $40. Fixed costs are $418,500. Compute the number of units of Product A McCoy must sell to break even.
A. 10,463.
B. 1,350.
C. 6,200.
D. 2,700.
E. 6,750.
Answer: E
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