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Metropole Inc. can produce three different products interchangeably on two machines. The accounting department provides the...

Metropole Inc. can produce three different products interchangeably on two machines. The accounting department provides the following information on these products: A B C Selling price per unit $23 $37 $43 Variable costs per unit $13 $29 $34 Units produced per machine hour 10 12.5 20 Minimum units produced 115 none 145 Maximum units produced 240 none 220 The total machine hours available are 105.

Determine the number of machine hours per unit for each product. (Round answers to 2 decimal places, e.g. 1.25.)

Determine the contribution margin per machine hour for each product. (Round answers to 2 decimal places, e.g. 15.25.)

Determine how many units of each product should be produced and the total contribution margin.

Solutions

Expert Solution

The answer has been presenetd in the supporting sheet. For detailed answer refer to the supporting sheet.

ekkarill92 answered 2 years ago
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