Question
Accountant Co. produces three products calculators, rulers and pocket protectors. The calculators have a contribution margin of $2 and require 6 hours of direct labor,
Accountant Co. produces three products calculators, rulers and pocket protectors. The calculators have a contribution margin of $2 and require 6 hours of direct labor, Rulers have a contribution margin of $0.50 and require 1 hour of direct labor and pocket protectors have a contribution margin of $1 and require 1.5 hours of direct labor. Direct labor is scarce since few individuals want to work at a company known for nerdiness, therefore, in what order should they schedule the production of the products for the available direct labor hours?
a) 1. calculators 2. rulers 3. pocket protectors
b) 1. rulers 2. pocket protectors 3. calculators
c) 1. pocket protectors 2. rulers 3. calculators
d) 1. pocket protectors 2. calculators 3. rulers
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started