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Skate Magic manufactures three different product lines, Model TS, Model AY, and Model GG. Considerable market demand exists for all models. The following per unit
Skate Magic manufactures three different product lines, Model TS, Model AY, and Model GG. Considerable market demand exists for all models. The following per unit data apply: Model TS Model AY Model GG $100 $120$140 12 24 Selling price Direct materials Direct labot ($12 per hour) Variable support costs ($4 per machine-hour) Fixed support costs 12 24 12 48 8 20 16 20 16 20 Which model has the greatest contribution margin per machine-hour? A) Model TS B) Model AY C) Model GG D) both Models YA and GG
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