Question
107 Bricktan Inc. makes three products, basic, classic, and deluxe. The maximum Bricktan can sell is 728,000 units of basic, 524,000 units of classic, and
107
Bricktan Inc. makes three products, basic, classic, and deluxe. The maximum Bricktan can sell is 728,000 units of basic, 524,000 units of classic, and 250,000 units of deluxe. Bricktan has a limited production capacity of 142,000 hours. It can produce 10 units of basic, 8 units of classic, and 4 units of deluxe per hour. Contribution margin per unit is $15 for the basic, $25 for the classic, and $55 for the deluxe. What is the most profitable sales mix for Bricktan Inc.?
Multiple Choice
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72,800 basic, 524,000 classic and 500,000 deluxe.
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280,000 basic, 250,000 classic and 500,000 deluxe.
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274,000 basic, 500,000 classic and 250,000 deluxe.
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1,120,000 basic, 0 classic and 250,000 deluxe.
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140,000 basic, 524,000 classic and 250,000 deluxe.
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