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Pharmall Company manufactures two types of medicine, Ezsleep and Pepeze. The company can sell as many bottles of each product as it can produce, but
Pharmall Company manufactures two types of medicine, Ezsleep and Pepeze. The company can sell as
many bottles of each product as it can produce, but production is limited by availability of direct labor
hours. The revenues, costs and labor products for the two products are shown below. How much larger or
smaller would Pharmall's earnings be if the company produced Pepeze instead of Ezsleep with the
available direct labor hours?
Selling price per bottles
Variable costs per bottles
Labor hours per bottles
$ larger
$ smaller
$ larger
$ smaller
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