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Barlow Company manufactures three products: A, B, and C. The selling price, variable costs, and contribution margin for one unit of each product follow: Product

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Barlow Company manufactures three products: A, B, and C. The selling price, variable costs, and contribution margin for one unit of each product follow: Product Selling price $210 $330 $320 Variable expenses: Direct materials 21 28 Other variable expenses 147 168 244 Total variable expenses 231 168 272 Contribution margin 42 99 48 20% Contribution margin ratio 30% 15% The same raw material is used in all three products. Barlow Company has only 5,200 pounds of raw material on hand and will not be able to obtain any more of it for several weeks due to a strike in its supplier's plant. Management is trying to decide which product(s) to concentrate on next week in filling its backlog of orders. The material costs $7 per pound

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