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Lakeside Inc. produces Product A and Product B that require special machining time. Machine time capacity is 15,330 machine hours per month. Lakeside estimates April
Lakeside Inc. produces Product A and Product B that require special machining time. Machine time capacity is 15,330 machine hours per month. Lakeside estimates April demand for each product and provides additional information as follows:
Product A | Product B | |||||
April demand | 4,300 | units | 3,300 | units | ||
Contribution margin | $ | 717 | per unit | $ | 630 | per unit |
Required machine hours | 3 | per unit | 2 | per unit | ||
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