Carlton can hire only two full-time employees, but he needs even more help to make the two products he sells. Product Alpha has a contribution margin per unit of limited resource of $750 and a unit contribution margin of $600. Product Beta has a contribution margin per unit of limited resource of $975 and a unit contribution margin of $400. Carlton thinks he will be able to afford hiring an extra employee to work 150 hours per month, but he is unsure which product to have the employee work on. Which product would result in the highest additional contribution margin?

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6.3 Sales Mix with Limited Resources Carlton can hire only two full-time employees, but he needs even more help to make the two products he sells. Product Alpha has a contribution margin per unit of limited resource of $750 and a unit contribution margin of $600. Product Beta has a contribution margin per unit of limited resource of $975 and a unit contribution margin of $400. Carlton thinks he will be able to afford hiring an extra employee to work 150 hours per month, but he is unsure which product to have the employee work on. Which product would result in the highest additional contribution margin? Product Alpha, which would provide additional contribution margin of $112,500. Product Beta, which would provide additional contribution margin of $60,000. Product Beta, which would provide additional contribution margin of $146,250