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mb83 mb83
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9 months ago

Holden Corporation produces three products, with costs and selling prices as follows:

Product AProduct BProduct C
Selling price per unit$ 30100%$ 20100%$ 15100%
Variable costs per unit1860%1575%640%
Contribution margin per unit$ 1240%$ 525%$ 960%

A particular machine is the bottleneck. On that machine, 3 machine hours are required to produce each unit of Product A, 1 hour is required to produce each unit of Product B, and 2 hours are required to produce each unit of Product C. Rank the products from the most profitable to the least profitable use of the constrained resource (bottleneck). (Round your intermediate calculations to 2 decimal places.)



▸ C, A, B

▸ A, C, B

▸ B, C, A

▸ B, A, C
Textbook 
Introduction to Managerial Accounting: Brewer Edition: 9e

Introduction to Managerial Accounting: Brewer Edition: 9e


Edition: 9th
Authors:
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itnow96itnow96
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9 months ago
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