Hassel Company manufactures two different products, X and Y. The company has 100 kilograms of materials and 300 direct labour hours available for production.
The time requirements and contribution margins per unit are as follows:
$\begin{array}{lcc}
&\text {Product X}&\text {Product Y}\
\text { Contribution margin per unit } & \$ 4 & \$ 5 \
\text { Materials per unit (kg) } & 1 & 2 \
\text { Direct labour hours per unit } & 4 & 2
\end{array}$
-Refer to the figure.What is the equation for the constraint on direct labour?
A)$1X + $2Y$\leq $ 300
B)$4X + $2Y $\leq $ 100
C)$4X + $2Y $\leq $ 300
D)$4X + $5Y $\leq $ 100

Question

Quizplus · Accepted Answer

The constraint on direct labor is determined by the direct labor hours required for each product. Product X requires 4 hours per unit, and Product Y requires 2 hours per unit. With 300 direct labor hours available, the equation is $4X + 2Y \leq 300$.

Hassel Company Manufactures Two Different Products, X and Y -Refer to the Figure