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Favata Corporation manufactures two products AA and CC. The following information was available: AA CC Selling price per unit $37 $26 Variable cost per unit

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Favata Corporation manufactures two products AA and CC. The following information was available: AA CC Selling price per unit $37 $26 Variable cost per unit 32 22 Total fixed costs $18,000 If Favata Corporation could produce and sell EITHER 10,000 units of AA or 5,000 units of CC at full capacity, it should produce and sell: 10,000 units of AA and none of CC 3,000 units of CC and 6,000 units of AA 5,000 units of CC and none of AA 4,000 units of AA and 5,000 units of CC

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