Answer:
$21,370
Explanation:
A composite unit is a set of different products grouped together in proportion to their sales mix. The unit is a basis for grouping products from different segments of an entity together with the aim of managing inventory levels, break even points, and sales.
The selling price of the composite unit can be calculated as follows:
||Bicycle model |No. of bicycles |Unit selling price |Total per composite unit
|Youth models| 5 | 440 | 2,200
|Adult models| 9 | 990 | 8,910
|Recreational models| 6 | 1,140 | <u>10,260</u>
Selling price per composite unit <u>21,370</u>