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The following are production and cost data for two products, A and B. Product A Product B Contribution margin per unit $450 $280 Machine set-ups
The following are production and cost data for two products, A and B. Product A Product B Contribution margin per unit $450 $280 Machine set-ups needed per unit 25 14 The company can only perform 12,000 set-ups each period yet there is unlimited demand for each product. What is the maximum contribution margin for the year? Answer $240,000 $252,000 $216,800 $380,000
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