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Robert's Inc., produces two products, A and B, that both use the same machine for manufacturing (machine hours are therefore a limited resource). The
Robert's Inc., produces two products, A and B, that both use the same machine for manufacturing (machine hours are therefore a limited resource). The following information is available for products A and B Product Contribution Margin per unit Machine hours per unit A B $15 $21 0.5 0.75 Robert's has a total of 50,000 machine hours available each month. The total demand for product A is 60,000 units and the total demand for product B is 45,000 units. Under these conditions of a limited resource, how many units of product B is Robert's expected to produce?
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