Logan Company can sell all of the standard and premier products they can produce, but it has limited production capacity. It can produce 8 standard units per hour or 5 premier units per hour, and it has 47,700 production hours available. Contribution margin per unit is $20 for the standard product and $27 for the premier product. What is the most profitable sales mix for Logan Company?

rev: 12_18_2020_QC_CS-244914, 05_11_2021_QC_CS-263899

Multiple Choice

• 0 standard units and 238,500 premier units.

• 238,500 standard units and 31,800 premier units.

• 47,700 standard units and 159,000 premier units.

• 381,600 standard units and 0 premier units.

• 159,000 standard units and 148,400 premier units.