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The following information applies to the products of Thornton Company Selling price per unit Variable cost per unit Product A $17 13 Product B $17
The following information applies to the products of Thornton Company Selling price per unit Variable cost per unit Product A $17 13 Product B $17 11 Identify the product that should be produced or sold under each of the following constraints. Consider each constraint separately. Required a. One unit of Product Arequires 2 hours of labor to produce, and one unit of Product Brequires 4 hours of labor to produce. Due to labor constraints, demand is higher than the company's capacity to make both products, b. The products are sold to the public in retail stores. The company has limited floor space and cannot stock as many products as it would like Display space is available for only one of the two products. Expected sales of Product A and Product Bare 11.000 units and 10,000 units, respectively, c. The maximum number of machine hours available is 46,000. Product A uses 2 machine hours, and Product Buses 10 machine hours. The company can sell all the products it produces. Complete this question by entering your answers in the tabs below. Required A Required B Required One unit of Product A requires 2 hours of labor to produce, and one unit of Product B requires 4 hours of labor to produce. Due to labor constraints, demand is higher than the company's capacity to make both products. (Round your answers to 2 Harimanlara
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