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Explorer Company manufactures two products, hard-tops and covers for its convertible vehicles. Data for each follows:

Hard-top Covers
Direct labor hours required per unit 4 8
Contribution margin per unit $240 $390

Only 4,200 direct labor hours are available per month. How many units of each product should Explorer make in order to maximize profits?

 

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M969011

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