Proper solution please, thank you. Evaluate the option of ceasing the manufacturing and marketing of the single product and instead replace it with either product X or product Y. The relevant costing information in respect of product X and product Y are as follows: Product X Product Y Selling price 42 33 Direct Materials 15 15 Labour hours (0.50 per hour) 18 hours 9 hours

Variable overheads 50% of direct wages. Question: During times of labour shortage, advise Juara Sdn Bhd which of the two products should be manufactured and marketed.