Question
Cling Co. produces and sells three products (X, Y, and Z). The following data relate to the three products. Labor is a fixed cost. X
Cling Co. produces and sells three products (X, Y, and Z). The following data relate to the three products. Labor is a fixed cost.
| X | Y | Z | |
| Deamnd in units | 190 | 200 | 210 |
| Selling price per unit | $160 | $190 | $180 |
| Raw materials costs per unit | $80 | $100 | $110 |
| Labor time in minutes per unit | 20 | 28 | 12 |
Required: 1. Which is the most profitable product if there is no labor constraint? 2. Which is the most profitable product if there is a labor constraint?
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Culture Audits Supporting Organizational Success Information Line
Authors: Cynthia Solomon
1st Edition
156286386X, 978-1562863869
