Question: Bison Co. makes three products, basic, classic, and deluxe. The maximum Bison can sell is 105,000 units of basic, 468,000 units of classic, and 180,000

Bison Co. makes three products, basic, classic, and deluxe. The maximum Bison can sell is 105,000 units of basic, 468,000 units of classic, and 180,000 units of deluxe. Bison has limited production capacity of 114,000 hours. It can produce 10 units of basic, 8 units of classic and 4 units of deluxe per hour Contribution margin per unit is $15 for the basic, $25 for the classic, and $55 for the deluxe. What is the total contribution margin if Bison Co. chooses the most profitable sales mix? Multe Choc $14,274.000 $17,316.000 $23175.000 $11.979.000 $10754.000
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
