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Dalton Company manufactures and sells two products. Relevant per-unit data concerning each product follow: Product Basic Deluxe Selling price $44.00 $54.00 Variable costs $20.00 $28.80

Dalton Company manufactures and sells two products. Relevant per-unit data concerning each product follow:

Product
Basic Deluxe
Selling price $44.00 $54.00
Variable costs $20.00 $28.80
Machine hours 0.50 0.70

Calculate the contribution margin per machine hour for each product.

Basic Deluxe
Contribution margin per machine hour $enter a dollar amount $enter a dollar amount

eTextbook and Media

If 1,210 additional machine hours are available, which product should Dalton manufacture?

Dalton should manufacture the

product.

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an analysis showing the total contribution margin if 1,210additional hours are: (1) Divided equally between the products.

Basic $enter a dollar amount
Deluxe

enter a dollar amount

Total contribution margin $enter a total amount

(2) Allocated entirely to the product identified in part (b).

Total contribution margin $enter the Total contribution margin

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