SECTION A 2.2 The Engineering Manager in XYZ Ltd is responsible for maximising the profit from four product lines A,B,C and D. They have been provided with the following information A D Direct materials () 200 160 180 140 Direct labour (hrs) Fabrication Assembly Finishing 5 2. 4 4.5 2 3.5 6 1.5 2.5 5.5 2 3.5 Selling price per unit () 1000 600 850 900 Max.sales for the period (in units) 240 190 240 230 200 190 180 210 Budgeted production (in units) Additional information is also provided: 1. 2. There are no closing stocks. The labour rate for fabrication and finishing is 20.00/hr. The labour rate for assembly work is 14.50/hr. The skilled labour required for the finishing process is in short supply although there is just enough to meet the current budgeted production. 3. Required: a) Prepare a statement showing the contribution from each product based on the budgeted production. (8 marks) b) Calculate the contribution per unit of limiting factor. Grinding Labour how (2 marks) Prepare a statement showing the maximum total contribution that can be obtained. Explain your rationale. (10 marks) c) f