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Exercise 13-12 (Algo) Volume Trade-Off Decisions [LO13-5] Benoit Company produces three products-A, B, and C. Dota concerning the three products foliow iper unit?. The company
Exercise 13-12 (Algo) Volume Trade-Off Decisions [LO13-5] Benoit Company produces three products-A, B, and C. Dota concerning the three products foliow iper unit?. The company estumates that it can sell 950 unis of each product per month. The same raw material is used in each product. The material costs $3 per pound with a maximum of 6.100 pounds avaliable each month Required: 1 Calculate the controution margin per pound of the constraining resource for each product: 2 Which ordets would you advise the company to accept first, those for A. B, or C? Which orders second? Third? 3. What is the maximum contribution margin that the company can earn per month if it makes optimal use of its 6.100 pounds of matenals
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