Question
Manico Company produces three productsX, Y, & Zwith the following characteristics: X Y Z Selling price per unit $20 100% $16 100% $15 100% Variable
Manico Company produces three productsX, Y, & Zwith the following characteristics:
X | Y | Z | ||||
Selling price per unit | $20 | 100% | $16 | 100% | $15 | 100% |
Variable cost per unit | 12 | 60% | 12 | 75% | 6 | 40% |
Contribution margin per unit | $8 | 40% | $4 | 25% | $9 | 60% |
Machine hours per unit | 5 | 3 | 6 |
The company has only 2,000 machine-hours available each month. If demand exceeds the company's capacity, in what sequence should orders be filled if the company wants to maximize its total contribution margin?
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Elementary Statistics
Authors: Mario F. Triola
12th Edition
0321836960, 978-0321836960
