COTB MC Qu. 13-35 (Algo) Assume a company makes only three...

Assume a company makes only three products, A, B, and C:

	Product A	Product B	Product C
Estimated customer demand in units	700	600	800
Selling price per unit	$ 80	$ 65	$ 45
Variable cost per unit	$ 35	$ 26	$ 20
Machine-hours per unit	2.5	3.0	1.25

The company has only 1,300 machine-hours available. What is the highest total contribution margin that the company can earn if it makes optimal use of its constrained resource?

Multiple Choice

Multiple Choice

• $27,400

• $25,400

• $26,400

• $28,400