Clip Corporation manufactures two styles of lamps?a Bedford Lamp and a Lowell Lamp. The following per unit data are available:

Total fixed costs are $30,000. Machine hour capacity is 25,000 hours per year.

Assuming that the company can sell as many products as it can make, which product mix would deliver the highest operating income?

Sale price Variable costs Machine hours required for 1 lamp Bedford Lamp $25 $17 12 Lowell Lamp $35 $23 14