Yeman Corporation manufactures two products,Pots and Blenders.The following annual information was gathered: Total annual fixed costs are $15,000.Total production capacity is 10,000 units per year.The maximum number of each product that can be sold in a year is 7,000 units.It takes the same amount of time to make each product.How many units of Pots should Yeman Corporation produce and sell to maximize profits in one year?
A)3,000 units of Pots
B)5,000 units of Pots
C)7,000 units of Pots
D)8,000 units of Pots

Question

Yeman Corporation manufactures two products,Pots and Blenders.The following annual information was gathered:  Total annual fixed costs are $15,000.Total production capacity is 10,000 units per year.The maximum number of each product that can be sold in a year is 7,000 units.It takes the same amount of time to make each product.How many units of Pots should Yeman Corporation produce and sell to maximize profits in one year?
A)3,000 units of Pots 
B)5,000 units of Pots 
C)7,000 units of Pots 
D)8,000 units of Pots

Quizplus · Accepted Answer

The Answer of Yeman Corporation manufactures two products,Pots and Blenders.The following annual information was gathered:  Total annual fixed costs are $15,000.Total production capacity is 10,000 units per year.The maximum number of each product that can be sold in a year is 7,000 units.It takes the same amount of time to make each product.How many units of Pots should Yeman Corporation produce and sell to maximize profits in one year?
A)3,000 units of Pots 
B)5,000 units of Pots 
C)7,000 units of Pots 
D)8,000 units of Pots

Yeman Corporation Manufactures Two Products,Pots and Blenders