Spencer Company manufactures and sells three products. Relevant per unit data concerning each product are given below.
|
|
Product
|
|
|
A
|
|
B
|
|
C
|
Selling price |
|
$21 |
|
$12 |
|
$20 |
Variable costs and expenses |
|
$7 |
|
$10 |
|
$16 |
Machine hours to produce |
|
2 |
|
1 |
|
2
|
Prepare an analysis showing the total contribution margin if the additional hours are allocated entirely to the product identified above assuming 1,530 additional machine hours are available.
- Machine Hours:
- Contribution Margin Per Unit of Limited Resources:
- Total Contribution Margin: