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Spencer Company manufactures and sells three products. Relevant per unit data concerning each product are given below. Products A B C Selling price $19 $12

Spencer Company manufactures and sells three products. Relevant per unit data concerning each product are given below.

Products
A B C
Selling price $19 $12 $20
Variable costs and expenses $5 $10 $18
Machine hours to produce 2 1 2

(1) Compute the contribution margin per unit of the limited resource (machine hours) for each product.(Round contribution margin per unit to 2 decimal places, e.g. 1.25.)

(2) Assuming 1,710 additional machine hours are available, which product should be manufactured?

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