Exercise $25-6($Algo$)$ Sales mix LO P$3$

Colt Company produces two skateboard models. Machine time per unit for Hero is two hours and for Flip is one hour. The

machine's capacity is $1,920$ hours per year. Colt can sell up to $692$ units of Hero and $836$ units of Flip per year. Selling prices

and variable costs follow.

$($a$)$ Compute the contribution margin per machine hour for each product.

$($b$)$ Determine the best sales mix of products.