Question 12

Product A requires 5 machine hours per unit to be produced Product & requires only 3 machine hours per unit, and the company's productive capacity is limited to 240,000 machine hours. Product A sells for $16 per unit and has variable costs of $6 per unit. Product sells for $12 per unit and has variable costs of $5 per unit. Assuming the company can sell as many units of either product it produces, the company should Multiple Choice Produce only Product A Produce only Product Produce equal amounts of A and Produce A and in the ratio of 62.5% to 375 Produce A and in the ratio of 40% A and 60