Question: Product S has a contribution margin of $150 per unit and requires three hours of machine time. Product T requires four hours of machine time
Product S has a contribution margin of $150 per unit and requires three hours of machine time. Product T requires four hours of machine time and provides $200 of contribution margin per unit.
Required:
If the capacity of machine time is limited to 600 hours and only one product can be produced, what is the maximum amount of contribution that could be generated?
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