Question

Zantaq Inc. has 5,460 machine hours available each month. The following information on the company's three...

Zantaq Inc. has 5,460 machine hours available each month. The following information on the company's three products is available:

Bookcases Chairs Side Tables
Contribution margin per unit $ 33.00 $ 30.00 $ 13.50
Machine hours per unit 3 2 1


The market demand is limited to 2,060 units of each of the three products. What is the maximum possible contribution margin that Zantaq could make in any month?

Multiple Choice

  • $76,390.

  • $114,390.

  • $79,890.

  • $84,390.

Homework Answers

Answer #1

The answer is d) 79,890

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