Question
Waterway Industries can produce and sell only one of the following two products: Oven Contribution Hours Required Margin Per Unit Muffins 0.2 $6 Coffee Cakes
Waterway Industries can produce and sell only one of the following two products:
| Oven | Contribution | |
| Hours Required | Margin Per Unit | |
| Muffins | 0.2 | $6 |
| Coffee Cakes | 0.3 | $7 |
The company has oven capacity of 3750 hours. How much will contribution margin be if it produces only the most profitable product?
|
| $87500. |
|
| $112500. |
|
| $75000. |
|
| $131250. |
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