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Brown Corporation makes four products in a single facility. These products have the following unit product costs: Products A B C $15.20 $11.10 $11.90 $11.50
Brown Corporation makes four products in a single facility. These products have the following unit product costs: Products A B C $15.20 $11.10 $11.90 $11.50 Direct materials 41.30 Direct labor 20.30 28.30 34.50 5.20 4.10 Variable manufacturing overhead 3.60 3.50 Fixed manufacturing overhead 27.40 35.70 27.50 38.10 $68.10 $78.70 $77.40 $95.00 Unit product cost Additional data concerning these products are listed below. Products C A B D Grinding minutes per unit 470 6.20 5.20 4.30 $77.00 $94.40 $88.30 $105.10 Selling price per unit $ 4.20 $3.10 $2.10 $2.50 Variable selling cost per unit 4,900 4,900 2,900 Monthly demand in units 3,900 The grinding machines are potentially the constraint in the production facility. A total of 54,500 minutes are available per month on these machines. Direct labor is a variable cost in this company. How many minutes of grinding machine time would be required to satisfy demand for all four products? 86,160 O 63,130 20,380 O 54,500
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