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Assume that a company makes three products-Product A, Product B, and Product C-and provides the foilowing information whth respect to those products: The company incurs
Assume that a company makes three products-Product A, Product B, and Product C-and provides the foilowing information whth respect to those products: The company incurs total fixed costs of $50,000. The maximum demand for each of its products is 600 units, its direct imaterial cost is 58.00 per pound. The company has only 4,000 pounds of direct materials available for production. Assuming the company has made optimat use of its 4,000 pounds of direct material, what is the maximum amount per pound the company should be willing to pay for additional divect materials? The company incurs total fixed costs of $50,000. The maximum demand for each of its products is 500 units. Its direct material cost is $8,00 pound. The company has only 4,000 pounds of direct materials avalable for production. Assuming the company has made optimaf use fits 4,000 pounds of direct material, what is the maximum amount per pound the company should be willing to pay for additional direct materials? Muitiple Cholce $20.00 514.00 $1600 $15.00
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