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Q. 2 A company produces four products A,B,C and D using maximum labor hours available (overtime or any other increase in labor hours is
Q. 2 A company produces four products A,B,C and D using maximum labor hours available (overtime or any other increase in labor hours is not feasible). The current data are as follows: Particulars (per unit) Selling Price A B C D 70 40 60 75 40 24 34 60 20 10 20 10 02 01 02 01 50 100 50 100 Direct Material Cost Direct Labor Cost Direct Labor Hours required Total production in units If the company receives an additional order for 50 units of A, then: Should the Co. accept the order: Reason for your decision (with amount): If order is accepted, resources will be transferred from which product:
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