A firm produces products X, Y and Z with contribution margins of $4, $5 and $10 respectively.
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Question:
A firm produces products X, Y and Z with contribution margins of $4, $5 and $10 respectively. The firm has only 5000 machine hours available for a particular period. Machine hours required for each of the products are 1, 1 and 5 hours respectively. Demand for the products is 1000 for X, 3000 for Y and 2000 for Z. How many units of each product will the firm produce?
A). 2000 Z
B). 1000 X, 3000 Y, 2000 Z
C). 3000 Y, 1000 X, 200 Z
D). 2000 Z, 3000 Y
Related Book For
Probability and Statistics for Engineers and Scientists
ISBN: 978-0495107576
3rd edition
Authors: Anthony Hayter
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