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Business, 25.04.2020 03:26 ytshyy

Speedy Co. manufactures four products. Direct materials and direct labor are available in sufficient quantities, but machine capacity is limited to 3,000 hours. Cost revenue data for the four products are given below:

Product Product Product Product
A B C D
Selling price per unit $36 $42 $46 $56
Variable cost per unit $19 $16 $25 $37
Units produced per
Machine hour 3 4 2 3

Of the four products which is the most profitable for Speedy Co?
Product A.
Product B.
Product C.
Product D.

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Answers: 3

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