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Dolphin Company produces and sells four products; A, B, C and D. The company uses the traditional approach to determine its most profitable product mix.

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Dolphin Company produces and sells four products; A, B, C and D. The company uses the traditional approach to determine its most profitable product mix. Direct labor is the constraint. The following data relate to its four products: Product Weekly Demand Selling Price per Variable Cost per Direct Material (in Units) Unit Unit Cost per Unit 180 400 200 50 Labor Time in Hours per Unit 5 A B 120 280 100 2 120 220 90 360 4 20 150 D 300 150 60 GO There are total of 990 hours available per week. Total fixed costs are $3,100 per week. Problem 3-3 How many units of product D should be produced each week? 150 0 130 90

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