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Ex 16 Multi Company makes three products. To follow is the financial and production data per unit: Prod C $160.00 Sales price Variable costs Contribution

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Ex 16 Multi Company makes three products. To follow is the financial and production data per unit: Prod C $160.00 Sales price Variable costs Contribution margin per unit Direct material required per unit (in lbs) Prod A $80.00 $48.00 $32.00 Prod B $240.00 $96.00 $144.00 $72.00 Due to problems with suppliers, Multi Company only has 4800 pounds of material available. Assume product demand of 640 units for product A, 800 units product B and 880 units product C. Prod A $32.00 Prod C $0.00 Prod B What is contribution margin per pound? n what order would Multi Co want to make its products? What is the most profitable sales mix in units What is the total contribution margin at ideal sales mix? CA, B 18 640 880 19 20 21 23 24

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