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TB MC Qu. 4-98 (Algo) Bacon Company makes four products in a... Bacon Company makes four products in a single facility. These products have the

TB MC Qu. 4-98 (Algo) Bacon Company makes four products in a... Bacon Company makes four products in a single facility. These products have the following unit product costs: Products A B Direct materials $14.85 $10.75 Direct labor Variable manufacturing overhead 19.95 4.85 Fixed manufacturing overhead 27.05 Unit product cost $66.70 D $11.55 $11.15 27.95 34.15 40.95 3.25 3.15 3.75 35.35 27.15 37.75 $77.30 $76.00 $93.60 Additional data concerning these products are listed below. Products A B D Grinding minutes per unit 3.80 5.30 4.30 3.40 Selling price per unit $76.65 $94.05 $87.95 Variable selling cost per unit $2.75 $ 1.75 $ 3.85 $104.75 $ 2.15 Monthly demand in units 4,220 4,220 3,220 2,220 The grinding machines are the constraint in the production facility. A total of 54.700 minutes is available per month on these machines Direct labor is a variable cost in this company Which product makes the LEAST profitable use of the grinding machines Multiple Choice Product A Product C O Product D Product B

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