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Kingston Manufacturing has 31,000 labor hours available for producing X and Y. Consider the following information: Required labor time per unit (hours) Maximum demand
Kingston Manufacturing has 31,000 labor hours available for producing X and Y. Consider the following information: Required labor time per unit (hours) Maximum demand (units) Contribution margin per unit Contribution margin per labor hour Product X 3 Product Y 4 7,000 8,000 $ 4 $ 5 $ 2.50 $ 2.00 If Kingston follows proper managerial accounting practices, which of the following production schedules should the company set? Product X A. 0 units B. 778 units Product Y 8,000 units C. 7,000 units D. 7,000 units E. 7,000 units 8,000 units 0 units 2,500 units 8,000 units
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