Question: 2. Use this mformation to answer question 22 to question 26 Fanyafujo Ltd manufactures and sells two models, Model A which is high quality and

2. Use this mformation to answer question 22 to question 26

Fanyafujo Ltd manufactures and sells two models, Model A which is high

2. Use this mformation to answer question 22 to question 26 Fanyafujo Ltd manufactures and sells two models, Model A which is high quality and model B for middle market. ITEM COST PER UNIT Model A Model B Shs. Shs. 120 160 40 Direct materials Direct labour (Shs. 20 per hour) Variable support (Shs 5 per machine hour) Fixed support Price per unit Demand for products - 20 20 20 260 8,000 400 5,000 Monthly capacity is limited to 60,000 machine hours Calculate the cost per unit of model B A Shs. 260 B. Shs. 280 C. Shs. 240 D. Shs. 300 3. Calculate the contribution per unit from product A: A Shs. 90 B. Shs. 190 C. Shs. 70 D. Shs. 50 www. Determine the product mix that maximizes profits for this firm. A 8000 units of A and 5000 units of B B. 5000 units of A and 8000 of units of B C. 8000 units of A and 35000 B D 4375 units of A and 5000 units of B . Calculate the contribution margin per machine hour for product A: A Shs. 17.50 B. Shs. 70.00 C. Shs. 4.00 D. Shs. 50 Suppose this company receive a special order for 2000 units for product A at Shs. 3000 each. What is the opportunity cost per unit associated with this order? 2. Use this mformation to answer question 22 to question 26 Fanyafujo Ltd manufactures and sells two models, Model A which is high quality and model B for middle market. ITEM COST PER UNIT Model A Model B Shs. Shs. 120 160 40 Direct materials Direct labour (Shs. 20 per hour) Variable support (Shs 5 per machine hour) Fixed support Price per unit Demand for products - 20 20 20 260 8,000 400 5,000 Monthly capacity is limited to 60,000 machine hours Calculate the cost per unit of model B A Shs. 260 B. Shs. 280 C. Shs. 240 D. Shs. 300 3. Calculate the contribution per unit from product A: A Shs. 90 B. Shs. 190 C. Shs. 70 D. Shs. 50 www. Determine the product mix that maximizes profits for this firm. A 8000 units of A and 5000 units of B B. 5000 units of A and 8000 of units of B C. 8000 units of A and 35000 B D 4375 units of A and 5000 units of B . Calculate the contribution margin per machine hour for product A: A Shs. 17.50 B. Shs. 70.00 C. Shs. 4.00 D. Shs. 50 Suppose this company receive a special order for 2000 units for product A at Shs. 3000 each. What is the opportunity cost per unit associated with this order

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