Question: Question 7 Springer Products manufactures three different product lines, Model X, Model Y, and Model Z. Considerable market demand exists for all models. The following

Question 7 Springer Products manufactures three different product lines, Model X,

Question 7 Springer Products manufactures three different product lines, Model X, Model Y, and Model Z. Considerable market demand exists for all models. The following per unit data apply: Model X Model Y Selling price $52 $60 Direct materials 8 8 Direct labor ($16 per hour) 16 16 Variable support costs ($5 per machine-hour) 5 10 Fixed support costs 12 12 If there is excess capacity, which model is the most profitable to produce? O A. Model z Model Z $74 8 32 10 12 O B. Both Model X and Model Y have same and highest profitability O C. Model Y OD. Model X

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