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Ninja & Karate made three products, B, M, and T. Each product utilizes the same type of direct material. B uses 4.4 pounds of the
Ninja & Karate made three products, B, M, and T. Each product utilizes the same type of direct material. B uses 4.4 pounds of the material, M utilizes 3.3 pounds of the material, and T utilizes 6 pounds of the material. All products have a strong demand, but only 56,100 pounds of material are available. The below provides more details about the selling price per unit and variable cost per unit of each product.
B | M | T | |||||||||
Selling price | $ | 168.76 | $ | 115.72 | $ | 202.60 | |||||
Variable costs | 101.00 | 88.00 | 136.00 | ||||||||
Required: 1. What is the contribution margin per pound for each of the three products? (Round your answers to 2 decimal places.)
Required: 1. What is the contribution margin per pound for each of the three products? (Round your answers to 2 decimal places.) Contribution margin per pound Contribution margin per pound Order in which products should be produced and filledStep by Step Solution
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