Exercise 142 (Part Level Submission) (a) SAVE FOR LATER SUBMIT ANSWER (b) The pa

Question

Exercise 142 (Part Level Submission)

(a)

SAVE FOR LATER

SUBMIT ANSWER

(b)

The parts of this question must be completed in order. This part will be available when you complete the part above.

Exercise 142 (Part Level Submission)

Reynolds, Inc. manufactures and sells two products. Relevant per unit data concerning each product are given below:
Product Standard Deluxe Selling price $50 $75 Variable costs $26 $33 Machine hours 2 3

(a)

Compute the contribution margin per unit of limited resource for each product.
Product Standard Deluxe Contribution margin per unit of limited resource $

$

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SAVE FOR LATER

SUBMIT ANSWER

(b)

The parts of this question must be completed in order. This part will be available when you complete the part above.

Explanation / Answer

a.

Product Standard Deluxe Selling price $50 $75 Variable costs -26 -33 Contribution margin $24 $42 Machine hours per unit 2 3 Contribution margin per unit of limited resource $12 $14

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