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Current Attempt in Progress Pina Colada Co. has 4,080 machine hours available to produce either Product 22 or Product 44. The cost accounting department
Current Attempt in Progress Pina Colada Co. has 4,080 machine hours available to produce either Product 22 or Product 44. The cost accounting department developed the following unit information for each product: Product 22 Product 44 Sales price $36 $55 Direct materials 11 15 Direct labor 8 Variable manufacturing overhead 9 Fixed manufacturing overhead 8 Machine time required 20 minutes 855 10 10 60 minutes Management wants to know which product to produce in order to maximize the company's net income. Taking into consideration the constraints under which the company operates, prepare a report to show which product should be produced and sold. (Round machine hours required to 2 decimal places and other answers to O decimal places.) Unit contribution margin Sales Price Direct Materials Direct Labor Product 22 $ 36 11 Variable Overhead 8 $ 15 7 Pro
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