Weygandt, Financial& Managerlal Help I Mars Company and sells three products. Re

Question

Weygandt, Financial& Managerlal Help I Mars Company and sells three products. Relevant per unit data 1 BACK each product are given below. Selling price Variable costs and expenses Machine hours to produce $11 13 $20 $6 $11 $17 (a) [ Your answer is correct. Compute the contribution margin per unit of limited resource (machine hours) for each product. (Round contribution margin per unit to 2 decimal places, e.g 1.25.) Product A Product B Contribution margin per unit of limited resource 2.5 1.5 SHOW SOLUTION SHOW ANSWER Attempts: 1 of 3 used (b) [ Your answer is correct, Chapter 20: Homework Assignment 44 F6 F5 F4

Explanation / Answer

c-1) divided equally among the products product A B C total Machine hours 1000 1000 1000 contribution per machine hour 2.5 2 1.5 Total contribution margin 2500 2000 1500 6000 answer $6000 c-2) Allocated entirely to the product identified above A Machine hours 3000 contribution per machine hour 2.5 Total contribution margin 7500 Answer 7,500

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