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Problem 23-5A Analysis of sales mix strategies LO A1 Edgerron Company is able to produce two products, G and B, with the same machine in
Problem 23-5A Analysis of sales mix strategies LO A1 Edgerron Company is able to produce two products, G and B, with the same machine in its factory. The following information is available Selling price per unit Variable costs per unit Contribution margin per unit Machine hours to produce 1 unit Maximum unit sales per month Product G $230 180 $130 0.4 hours 650 units Product B $260 156 $104 1.0 hours 250 units The company presently operates the machine for a single eight-hour shift for 22 working days each month about operating the machine for two shifts, which will increase its productivity by another eight hours per day for 22 days per month This change would require $13,000 additional fixed costs per month. (Round hours per unit answers to 1 decimal place. Enter operating tosses, if any, as negative values.) Management is thinking
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