Question
A company produces and sells three products. Product 1 Product 2 Product 3 Selling price per unit $100 $200 $150 Contribution Margin per Unit $20
A company produces and sells three products.
| Product 1 | Product 2 | Product 3 | |
| Selling price per unit | $100 | $200 | $150 |
| Contribution Margin per Unit | $20 | $80 | $60 |
| Direct labor hours per unit | 2 | 6 | 4 |
What is the maximum total monthly contribution margin that the company can earn if it has only 1000 direct labor hours per month and monthly demand for each product is unlimited? (Round to the nearest dollar.)
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Fundamentals Of Accounting Course 2
Authors: Claudia B. Gilbertson
9th Edition
053844827X, 9780538448277
