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Assume a company makes only three products, A, B, and C: Product A Product B Product C Estimated customer demand in units 700 600 800

Assume a company makes only three products, A, B, and C:

Product A Product B Product C
Estimated customer demand in units 700 600 800
Selling price per unit $ 80 $ 65 $ 45
Variable cost per unit $ 35 $ 26 $ 20
Machine-hours per unit 2.5 3.0 1.25

The company has only 3,100 machine-hours available. What is the highest total contribution margin that the company can earn if it makes optimal use of its constrained resource?

Multiple Choice

$61,050

$63,050

$56,050

$59,050

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