Bell Company produces and sells three products (A, B, C).The following data relate to the three products.Management considers labor to be a fixed cost. $\begin{array}{lrrr}&A&B&C\
\text { Demand in units } & 120 & 110 & 100 \
\text { Selling price per unit } & \$ 100 & \$ 120 & \$ 105 \
\text { Raw material cost/unit } & \$ 50 & \$ 60 & \$ 60 \
\text { Labor time in minutes/unit } & 12 & 17 & 7
\end{array}$ Required:
1.Calculate the contribution per labor minute for each product.
2.Determine the best product mix.Assume there are five employees, and given time for breaks, training, and regular meetings, there are a total of 2,200 minutes available per day.

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The Answer of Bell Company produces and sells three products (A, B, C).The following data relate to the three products.Management considers labor to be a fixed cost. $\begin{array}{lrrr}&A&B&C\
\text { Demand in units } & 120 & 110 & 100 \
\text { Selling price per unit } & \$ 100 & \$ 120 & \$ 105 \
\text { Raw material cost/unit } & \$ 50 & \$ 60 & \$ 60 \
\text { Labor time in minutes/unit } & 12 & 17 & 7
\end{array}$ Required:
1.Calculate the contribution per labor minute for each product.
2.Determine the best product mix.Assume there are five employees, and given time for breaks, training, and regular meetings, there are a total of 2,200 minutes available per day.

Bell Company Produces and Sells Three Products (A, B, C)