The following are production and cost data for two products, buckets and pails, produced in batches of 600 each. $\begin{array}{lcr}
& \text { Buckets } & \text { Pails } \
\text { Contribution margin per batch } & \$ 360 & \$ 250 \
\text { Machine set-ups needed per batch } &14 & 9
\end{array}$ The company can only perform 9,450 set-ups each period, yet there is unlimited demand for each product.What is the maximum contribution margin for the year?
A)$366,000
B)$243,000
C)$1,050
D)$262,500

Question

Quizplus · Accepted Answer

The Answer of The following are production and cost data for two products, buckets and pails, produced in batches of 600 each. $\begin{array}{lcr}
& \text { Buckets } & \text { Pails } \
\text { Contribution margin per batch } & \$ 360 & \$ 250 \
\text { Machine set-ups needed per batch } &14 & 9
\end{array}$ The company can only perform 9,450 set-ups each period, yet there is unlimited demand for each product.What is the maximum contribution margin for the year?
A)$366,000
B)$243,000
C)$1,050
D)$262,500

The Following Are Production and Cost Data for Two Products