MOMA Inc. can produce three different products interchangeably on two machines which have a total availability of 250 hours per month. The accounting department provides the following information on these products.

	A	B	C
Selling Price per unit	$25	$35	$80
Variable costs per unit	$15	$20	$45
Time required to produce 1 unit	6 minutes	12 minutes	42 minutes
Minimum units that must be produced per month	100	none	140
Maximum unit demand per month	200	none	200

Required:

a) Prepare a production plan that shows how many units of each product should be produced for the period

b) Compute the total contribution margin expected based on the production plan

Answer rating: 100% (QA)

Required a A B C Minutes required per unit 6 12 42 Minutes in a hour 60 60 60 Hours required pe... View the full answer