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Holton Company makes three products in a single facility. Data concerning these products follow: 08 Product A B selling price per unit $ 93.60 $

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Holton Company makes three products in a single facility. Data concerning these products follow: 08 Product A B selling price per unit $ 93.60 $ 79.60 $ 138.00 Direct materials $40.80 $44.40 $83.00 Direct labor $29.40 $ 14.20 $21.70 Variable manufacturing overhead $ 5.70 $ 4.70 $ 10.10 Variable selling cost per unit $ 8.40 $ 3.40 $6.20 Mixing minutes per unit 14.90 1.00 1.ee Monthly demand in units 3,000 1,000 2,eee The mixing machines are potentially the constraint in the production facility. A total of 14,000 minutes are available pe these machines Direct labor is a variable cost in this company Required: a How many minutes of gixing machine time would be required to satisfy demand for all three products? b. How much of each product should be produced to maximize net operating income? c. Up to how much should the company be willing to pay for one additional hour of mixing machine time if the compa best use of the existing mixing machine capacity

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