Business, 21.12.2020 23:30 sliverx201

Assume a company makes only three products, B, C, and D: Product B Product C Product D
Estimated customer demand in units 700 600 800
Selling price per unit $ 80 $ 65 $ 45
Variable cost per unit $ 35 $ 26 $ 20
Machine-hours per unit 2.5 3.0 1.25
The company has only 2,700 machine-hours available. Up to how much should the company be willing to pay per hour to lease additional machine capacity?
a) $18
b) $20
c) $15
d) $13

Answers: 2

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Assume a company makes only three products, B, C, and D: Product B Product C Product D
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