Refer to Figure 13-4. What is the total contribution margin of the optimal mix of classic and fancy lamps?
A) $1,280,000
B) $950,000
C) $1,000,000
D) $1,170,000
E) $90,000

Question

Quizplus · Accepted Answer

The optimal mix of classic and fancy lamps is producing 60,000 classic lamps and 30,000 fancy lamps, which yields a total contribution margin of $1,170,000. This is the highest contribution margin among all the possible combinations, making it the best choice.