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Lakeside Inc. produces Product A and Product B that require special machining time. Machine time capacity is 16,970 machine hours per month. Lakeside estimates April
Lakeside Inc. produces Product A and Product B that require special machining time. Machine time capacity is 16,970 machine hours per month. Lakeside estimates April demand for each product and provides additional information as follows:
Product A Product B April demand 4,700 units 3,700 units Contribution margin $ 753 per unit $ 670 per unit Required machine hours 3 per unit 2 per unit Required:
Determine how many units of each product Lakeside should produce to maximize contribution margin in April.
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