Question
Excel Memory Company can sell all units of computer memory X and Y that it can produce, but it has limited production capacity. It can
Excel Memory Company can sell all units of computer memory X and Y that it can produce, but it has limited production capacity. It can produce two units of X per hour or three units of Y per hour, and it has 4,700 production hours available. Contribution margin is $8 for product X and $7 for product Y. 1. Calculate contribution margin per production hour. 2. What is the most profitable sales mix for this Company?
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Calculate contribution margin per production hour.
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What is the most profitable sales mix for this Company?
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