Question
Hawthorn corporation can sell all the units it can produce of either product M or product O but not both. Product M has a unit
Hawthorn corporation can sell all the units it can produce of either product M or product O but not both. Product M has a unit contribution margin of $3 and takes .2 machine hours to make and product o has a unit contributions margin of $5 and takes .3 machine hours to make.There are 2400 machine hours available to manufacture a product. What would hawthorn do?
A) Make M because it creates more profit per machine hour than 0 does B) Make O because it creates more profit per machine hour than M does C) Make M because more units can be made and sold than O D)The same total profits exist regardless of which products is made E) Make O because its creates more profit per unit than M does
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