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4.3 Sales Mix with Limited Resources Holly Manufacturing has more demand than it can meet for its two products. Pink and Blue. Pink has
4.3 Sales Mix with Limited Resources Holly Manufacturing has more demand than it can meet for its two products. Pink and Blue. Pink has a unit contribution margin of $40.32 and requires two machine hours to make, and Blue has a unit contribution margin of $50.40 and requires three machine hours to make. There are 2.400 machine hours available for manufacturing products. What should Holly do? Make Pink, which generates $3.36 more contribution margin per machine hour than Blue. Make Blue, which generates $10.08 more unit contribution margin than Pink The same contribution margin can be generated regardless of which product is made, so produce the prettiest product Make Pink, because more units can be made and sold than Blue. Save for Later Preview Submit Answer
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