Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

JSON-9633 Inc. produces Products X5, Y8, and 29. The following table provides per unit information relating to the three products: Selling price Variable expenses:

image text in transcribed

JSON-9633 Inc. produces Products X5, Y8, and 29. The following table provides per unit information relating to the three products: Selling price Variable expenses: Direct materials Other variable expenses Total variable expenses Contribution margin Contribution margin ratio Product X5 $ 80.00 Y8 $54.00 29 $ 80.00 24.00 18.00 12.00 24.00 25.20 44.00 48.00 43.20 56.00 $32.00 $ 10.801 $ 24.00 40% 20% 30% JSON-9633 has enough demand to sell 850 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 7,000 pounds of the direct materials available every month What is the maximum contribution margin that JSON-9633 can earn per month using its 7,000 pounds of direct materials optimally? O$20,400 O$37,300 O$34,800 $14.400

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Intermediate Accounting

Authors: Kin Lo, George Fisher

Volume 1, 1st Edition

132612119, 978-0132612111

More Books

Students also viewed these Accounting questions

Question

Is this the employee s first dress code policy violation?

Answered: 1 week ago

Question

How long has the employee been with the organization?

Answered: 1 week ago