JAWA Company sells two products with information as follows:

Products are made by machine. 4 units of Product A can be made with one machine hour and 2 units of Product B can be made with one machine hour. The company has a maximum of 3,000 machine hours available per month. The company can sell up to 7,000 units of Product A per month, and up to 3,000 units of Product B for the month. What is the maximum amount of contribution margin that the company could earn in a month given the stated constraints?

Transcribed Image Text:

Price per unit Variable cost per unit A $12 $10 B $20 $12 Price per unit Variable cost per unit A $12 $10 B $20 $12

Answer rating: 100% (QA)

A B Sale price 1200 200 Variable costs 1000 120 Contributio... View the full answer