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Cordova manufactures three types of stained glass window, cleverly named Products A, B, and C. Information about these products follows: Product A Product B
Cordova manufactures three types of stained glass window, cleverly named Products A, B, and C. Information about these products follows: Product A Product B Product C Sales price $36.00 $46.00 $76.00 Variable costs per unit 18.50 21.00 38.50 Fixed costs per unit 4.00 4.00 4.00 Required number of labor hours 1.25 2.00 2.50 Cordova currently is limited to 40,000 labor hours per month. Required: Assuming an infinite demand for each of Cordova's products, determine contribution margin per direct labor hour. (Round your answers to 2 decimal places.) Contribution Margin Product A CM per DL hour nces Product B CM per DL hour Product C CM per DL hour Which product would be Cordova's first choice to produce? O Product C O Product B O Product A
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