Question
Citrine Company manufactures two products, X and Y. The company has 200 pounds of materials and 500 direct labor hours available for production. The time
Citrine Company manufactures two products, X and Y. The company has 200 pounds of materials and 500 direct labor hours available for production. The time requirements and contribution margins per unit are as follows:
| Product X | Product Y | |
| Contribution margin per unit | $10 | $8 |
| Materials per unit (lbs.) | 4 | 5 |
| Direct labor hours per unit | 2 | 4 |
Which of the following is the equation for the constraint on direct labor?
| a. | 5X + 8Y 200 | |
| b. | 10X + 3Y 500 | |
| c. | 4X + 3Y 200 | |
| d. | 2X + 4Y 500 |
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Financial And Managerial Accounting
Authors: Nonso E Okpala
1st Edition
1634873904, 9781634873901
