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Question 16 --/4 View Policies Current Attempt in Progress Rebecca's Coffee Corner can sell all the pies Rebecca can make. Given her limited time and
Question 16 --/4 View Policies Current Attempt in Progress Rebecca's Coffee Corner can sell all the pies Rebecca can make. Given her limited time and oven capacity, it is easier for her to produce only one kind of pie. She has to decided to make either French Coconut or Chocolate Fudge but not both. French Coconut pies sell of $18 and have a variable cost per pie of $6. Each French Coconut pie takes 40 minutes to hours to make. Chocolate Fudge Pies take 1 hour to make. Chocolate Fudge pies see for $22 and have a variable cost per pie of $8. There are 1,800 hours available to make pies. Which pie should Rebecca make and why? Make Chocolate Fudge because more pies can be made and sold. Make French Coconut because it has a higher contribution margin per unit of limited resources. Make Chocolate Fudge because it has a higher contribution margin. Make French Coconut because it has a higher contribution margin
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