Holden Company produces three products, with costs and selling prices as follows:

A particular machine is a bottleneck. On that machine, 3 machine hours are required to produce each unit of Product A, 1 hour is required to produce each unit of Product B, and 2 hours are required to produce each unit of Product C. In which order should it produce itsproducts?

Transcribed Image Text:

Product AProduct BProduct C S30 Selling price per unit Variable costs per unit Contribution margin per un$12 | 100% | S20 | 100%|$15 100% 6 40% |$9 60% 5 18 | 60% | 15 | 75% 4000 | $5 | 2590