How do you calculate how many units should the company produce to maximize profits?

Easy Cook Company manufactures two products: toaster ovens and bread machines. The following data are available:

	Toaster Ovens	Bread Machines
Sale price	$60	$135
Variable costs	$38	$62

Easy Cook can manufacture five toaster ovens per machine hour and three bread machines per machine hour. Easy Cook's production capacity is 1,500 machine hours per month.

Marketing limitations indicate that Easy Cook can sell a maximum of 5,000 toasters a month, and 3,000 bread machines per month. To maximize profits, what product and how many unit should the company produce in a month?

A) 4,500 bread machines B) 2,500 toaster ovens and 3,000 bread machines C) 3,750 toaster ovens and 2,250 bread machines D) 7,500 toaster ovens

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