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XYZ manufactures A and B from a joint process cost = = $ 6 0 , 0 0 0 . 6 0 , 0 0

 
 
 
XYZ manufactures A and B from a joint process cost = $60,000. Three thousand pounds of A can be sold at split-off for $20 per pound or processed further at an additional cost of $11,000 and then sold for $25. Nine thousand pounds of B can be sold at split-off for $14 per pound or processed further at an additional cost of $10,000 and later sold for $16. 
 
Requirements:
Which products should be processed further or not? Why? Give the total dollar impact to income for each product based on your recommendation. I am not looking for per unit information, but how each decision will impact the company's income in total

Decision making #2-Use of limited resources-singe constraint
Bush Manufacturing has 25,000 labor hours available for producing M and N. Consider the following information:
Required labor per unit in hours for M is 2 and for N is 4
Maximum demand in units for M is 9,000 and for N is 6,000
Contribution Margin unit for M is $8 and for N is $15

Requirements:
 
 What is the optimal product mix(how many M and N should be produced)?   
 

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