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## Accounting

 Accounting Basics Cost Accounting Financial Accounting Managerial Accounting Auditing Taxation

Q1) ABC Company manufactures Product X, Product Y, and Product Z. All three products need processing on specialized finishing machines. Capacity of these machines is 3,600 hours per month. ABC Company wants to determine product mix that which be achieved to meet high demand for each product and give maximum profit.

Following is information about each product:

 Product X Product Y Product Z Selling Price (a) \$300 \$240 \$76 Variable Costs (b) \$210 \$120 \$60 Machine Time Per Unit (Hours) (c ) 6 4 2 Monthly Demand (Units) (d) 360 240 600

Find out how 3,600 hours of machine time must be allocated to three products to give the most profitable product mix.

Accounting Basics, Accounting

• Category:- Accounting Basics
• Reference No.:- M921475

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