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Santana Rey sees that Business Solutionss line of computer desks and chairs is popular, and she is finding it hard to keep up with demand.

image text in transcribedSantana Rey sees that Business Solutionss line of computer desks and chairs is popular, and she is finding it hard to keep up with demand. Santana only has 767 direct labor hours available. She must determine the best sales mix given her limited hours. Information about the desks and chairs follows.

Desks Chairs
Selling price per unit $ 1,050.00 $ 310.25
Variable costs per unit 570.00 170.00
Contribution margin per unit $ 480.00 $ 140.25
Direct labor hours per unit 4 hours 3 hours
Maximum demand per quarter 167 desks 47 chairs

Required: Determine the best sales mix and the contribution margin the business will earn at that sales mix. (Round per unit amounts to 2 decimal places.)

Required: Determine the best sales mix and the contribution margin the business will earn at that sales mix. (Round per unit amounts to 2 decimal places.)

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