E7-16 (Algo) Making Decisions Involving Constrained Resource [LO 7-2, 7-7]

Cordova manufactures three types of stained glass window, cleverly named Products A, B, and C. Information about these products follows: Sales price Variable costs per unit Fixed costs per unit Required number of labor hours Product A $ 40.00 21.50 8.00 1.25 Product B $50.00 21.00 8.00 2.00 Product C $80.00 41.50 8.00 2.50 Cordova currently is limited to 41,500 labor hours per month. Cordova's marketing department has determined the following demand for its products: Product A Product B Product C 14,000 units 10,000 units 4,000 units Required: Given the company's limited resource and expected demand, compute how many units of each product Cordova should produce to maximize its profit. (Enter the products in the sequence of their preferences; the product with first preference should be entered first. Round your answers to the nearest whole number.) Product Units Produced