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Mays Company can sell all of Product A that it produces but only 160,000 units of Product Z. The company has limited production capacity and
Mays Company can sell all of Product A that it produces but only 160,000 units of Product Z. The company has limited production capacity and has 180,000 production hours available. Production hours per unit for Product A is 1.0 hour and for Product Z is 0.6 hour. Contribution margin per unit is $72 for Product A and $60 for Product Z. What is the most profitable sales mix for Mays Company?
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