Question
Chapter 10 question 11Edgerron company is able to produce two products, G and B, with the sameMachine in its factory. Selling price per unit G
Chapter 10 question 11Edgerron company is able to produce two products, G and B, with the sameMachine in its factory. Selling price per unit G $70 B $100Variable cost per unit G $20 B $60Contribution margin per unit G $50 B $40Machine hours to produce 1 unit G 0.4 B 1.0Maximum unit sales per mont G 600 unit B 200The company presently operates the machine for a single eight hour shift for 22 working days each month. Management is thinking about operator machine for two shifts, which will increase its productivity by another 8 hours per day for 22 day month. This change would require $5,000 additional fixed costs per month. I'm confused by this -in 3. It's also asking hours dedicated to production of each product Units produced for most profitable sales mix Total contribution margin two shifts
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