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1) Isabelle's Furniture manufactures a small table and a large table. The small table sells for $800, has variable costs of $570 per table, and

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1) Isabelle's Furniture manufactures a small table and a large table. The small table sells for $800, has variable costs of $570 per table, and takes 10 direct labor hours to manufacture. The large table sells for $1,700, has variable costs of $970, and takes eight direct labor hours to manufacture. The company has a maximum of 5,000 direct labor hours per month when operating at full capacity. If there are no constraints on sales of either product, and the company could choose any proportions of product mix that they wanted, what is the optimum product mix to maximize operating income of the company? A) 500 units of small and 625 units of large B) 0 units of small and 625 units of large C) 625 units of small and 500 units of large D) 500 units of small and 0 units of large 2) A company sells two products with information as follows: $12.00 $20 r unit ariable cost per unit S1000 $10 The products are machine made. Four units of product A can be made with one machine hour, and two units of product B can be made with one machine hour. The company has a maximum of 5,000 machine hours available per month. The company can sell up to 17,000 units of product A per month and up to 3,000 units of product B for the month. What is the maximum amount of contribution margin that the company could earn in a month given the stated constraints? A) $34,000 B) $58,000 C) $28,000 D) $30,000 3) A company sells two products with information as follows: les price per unit $12 ariable cost per unit $10.00 $1 The products are machine made. Four units of product A can be made with one machine hour and two units of product B can be made with one machine hour. The company has a maximum of 3,000 machine hours available per month. The company can sell up to 18,000 units of product A per month, and up to 3,000 units of product B for the month. What is the optimum product mix to maximize company's operating income? A) 1,500 units of A and 60,000 units of B B) 6,000 units of A and 3,000 units of B C) zero units of A and 3,000 units of B D) 12,000 units of A and zero units of B

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