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JSON-6037 Inc. produces Products X5, Y8, and Z9. The following table provides per unit information relating to the three products: Product Y8 Selling price
JSON-6037 Inc. produces Products X5, Y8, and Z9. The following table provides per unit information relating to the three products: Product Y8 Selling price Variable expenses: Direct materials Other variable expenses Total variable expenses Contribution margin Contribution margin ratio X5 $ 92.00 $ 66.00 Z9 $ 82.00 27.60 18.00 12.00 27.60 55.20 31.50 49.50 45.40 57.40 $ 36.80 $ 16.50 $ 24.60 40% 25% 30% JSON-6037 has enough demand to sell 950 units of each product per month. Each product requires the same direct materials in its production. The direct materials cost $3 per pound. The company will at most have 6,100 pounds of the direct materials available every month. What is the maximum contribution margin that JSON-6037 can earn per month using its 6,100 pounds of direct materials optimally? $ 35,070 $ 32,570 O $ 23,370 $ 9,200
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