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Mountaineer Products manufactures two types of tents: single-wall and double- wall. Selected per unit data related to each type of tent is as follows: Single-wall
Mountaineer Products manufactures two types of tents: single-wall and double- wall. Selected per unit data related to each type of tent is as follows: Single-wall Sales price $250 Direct materials 25 Direct labor 20 Variable overhead 10 Double-wall $375 50 40 15 Machine hours 2 hours 3 hours Total fixed overhead is $150,000. Most of the manufacturing process is done on specialized machines. For the upcoming year, there are a maximum of 9,000 machine hours available. Management believes there is sufficient demand for 3,000 single-wall and 2,000 double-wall tents each year. In order to maximize profits, how many of each type of tent should be produced? Single-wall Double-wall Select one: o a. 3,000 1,000 ob. 0 2,000 O c. 1,800 1,800 O d. 1,500 2,000 e. 2,250 1,500
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