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Kitchen Appliances Company manufactures two products: toaster ovens and bread machines. The following data are available: The company can manufacture two toaster ovens per machine

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Kitchen Appliances Company manufactures two products: toaster ovens and bread machines. The following data are available: The company can manufacture two toaster ovens per machine hour and three bread machines per machine hour. The company's production capacity is 2,200 machine hours per month. What is the contribution margin per machine hour for toaster ovens? What is the contribution margin per machine hour for bread machines? To maximize profits, what product and how many units should the company produce in a month? (product) and they should produce (\#) units. Compact Appliances uses a standard part in the manufacture of several of its air conditioners. The cost of producing 40,000 parts is $110,000, which includes fixed costs of $50,000 and variable costs of $60,000. By outsourcing the part, the company can avoid 40% of the fixed costs. If Compact Appliances buys the part, what is the most Compact Appliances can spend per unit so that operating income equals the operating income from making the part? A. \$1.75 B. $2.00 C. $2.25 D. $2.75

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