=+8-40 KK Product mix, constrained resource OBJECTIVES 2, 5 Westford Ltd produces three products, A110, B382 and
Question:
=+8-40 KK Product mix, constrained resource OBJECTIVES 2, 5 Westford Ltd produces three products, A110, B382 and C657. Unit data for the three products follows:
Product A110 B382 C657 Selling price $84 $56 70 Variable costs Direct materials 24 15 9 Labour and other costs 28 27 40 All three products use the same direct material, Bistide. The demand for the products far exceeds the direct materials available to produce the products. Bistide costs $3 per kilogram and a maximum of 5000 kilograms is available each month. Westford Ltd must produce a minimum of 200 units of each product.
Required 1 How many units of product A110, B382 and C657 should Westford Ltd produce?
Step by Step Answer:
Cost Accounting A Managerial Emphasis
ISBN: 9781442563377
2nd Edition
Authors: Monte Wynder, Madhav V. Rajan, Srikant M. Datar, Charles T. Horngren, William Maguire, Rebecca Tan