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Neptune Company makes three types of exercise machines Stepper Bike T-mill Sales Price $550 $400 $750 Variable Costs $380 $200 $400 Painting Dept. 20 minutes
- Neptune Company makes three types of exercise machines
Stepper | Bike | T-mill |
|
Sales Price | $550 | $400 | $750 |
Variable Costs | $380 | $200 | $400 |
Painting Dept. | 20 minutes | 35 minutes | 45 minutes |
There is unlimited demand for all three products. However, production is limited because Painting Department time is a constrained resource.
Required: Based on this information which product is most profitable? Show your work
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