company manufactures two products, A and B. Both products utilise the same material and require skilled labour. Materials and skilled labour are the only variable costs. Product details are as follows:

A B

Selling price 24 30

Material costs 5 10

Skilled labour costs 16 16

Materials cost 5 per kg. Skilled labour costs 8 per hour. For the month of May 2020 maximum expected demand is for 1,000 units of A and 1,500 units of B. In May 2020 there is expected to be a restriction on the availability of both material and skilled labour. There are 4,500 kgs. of Material available and 4,500 hours of skilled labour.

To maximise expected contribution how much A and B should be produced?

A.

1,000 A

1,250 B

B.

750 A

1,500 B

C.

1,000 A

1,500 B

D.

none of the