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Colt Company owns a machine that can produce two specialized products. Production time for Product TLX is two units per hour and for Product MTV

Colt Company owns a machine that can produce two specialized products. Production time for Product TLX is two units per hour and for Product MTV is four units per hour. The machines capacity is 2,300 hours per year. Both products are sold to a single customer who has agreed to buy all of the companys output up to a maximum of 3,910 units of Product TLX and 1,770 units of Product MTV. Selling prices and variable costs per unit to produce the products follow.

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