Emcee Emcee pic manufactures three products. standard data for whi ch are given below :

You are required to:

(a) present one graph that shows the profit of the company as a whole and the contribu tion earned by each of the three products;

(b) advise management which product should be produced and state the tota l contribution for the period. if total hours in department 2 are limited to 12,000 and there are no such limitations in department 1.

Transcribed Image Text:

Per unit MD A B 12 C Direct materials Direct wages: 70 70 124 70 70 Department 1 at 3 per hour Department 2 at 4 per hour Variable overhead: Department 1 at 2 an hour Department 2 at 1 per hour Fixed overhead Profit GGS BG 15 24 18 20 12 16 806 16 10 4 5 30 35 155 210 45 200 240 Budgeted sales for the period (units) 1,200 800 2