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Kinnane's Fine Furniture manufactures two models, Standard and Premium. Weekly demand is estimated to be 1 0 0 units of the Standard Model and 7

Kinnane's Fine Furniture manufactures two models, Standard and Premium. Weekly demand is estimated to be 100 units of the Standard Model and 70 units of the Premium Model. The following per unit data apply:
Standard Premium
Contribution margin per unit $21 $20
Number of machine-hours required 34
If there are 720 machine-hours available per week, how many rockers of each model should Kinnane produce to maximize profits?
Question 6Answer
a.
82 units of Standard and 62 units of Premium
b.
100 units of Standard and 48 units of Premium
c.
100 units of Standard and 70 units of Premium
d.
71 units of Standard and 70 units of Premium

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