Body-Builders, Inc., produces two basic types of weight-lifting equipment, Model 9 and Model 14. Pertinent data are as follows:

The weight-lifting craze is such that enough of either Model 9 or Model 14 can be sold to keep the plant operating at full capacity. Both products are processed through the same production departments.
If you want to use Excel to solve this exercise, go to the Excel Lab at www.prenhall.com/horngren/cost12e and download the template for Exercise 11-23?
Required
Which products should be produced? Briefly explain your answer.

Per Unit Model9 Model 14 3 Selling price 4 Costs 5 Direct material 6 Direct manufacturing labor 7Variable manufacturing overhead 25.00 1250 8 Fixed manufacturing overhead* 9 Marketing (all variable) 10 $100.00 $70.00 28.00 13.00 5.00 25.00 10.005.00 4.00 10.00 92.00 65.50 800 $450 Total cost 11 Operating income 12 13 *Allocated on the basis of machine-hours.