Easy Cook Company manufactures two products: toaster ovens and bread machines. The following data are available:
$$\begin{array} { | l | r | r | }
\hline & \text { Toastar Ovens } & \text { Bread Machines } \
\hline \text { Sale price } & \$ 60 & \$ 135 \
\hline \text { Variable costs } & \$ 38 & \$ 62 \
\hline
\end{array}$$
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Easy Cook can manufacture five toaster ovens per machine hour and three bread machines per machine hour. Easy Cook's production capacity is 1,500 machine hours per month. What is the contribution margin per machine hour for bread machines?

Question

Easy Cook Company manufactures two products: toaster ovens and bread machines. The following data are available:
$$\begin{array} { | l | r | r | } 
\hline & \text { Toastar Ovens } & \text { Bread Machines } \
\hline \text { Sale price } & \$ 60 & \$ 135 \
\hline \text { Variable costs } & \$ 38 & \$ 62 \
\hline
\end{array}$$
-
Easy Cook can manufacture five toaster ovens per machine hour and three bread machines per machine hour. Easy Cook's production capacity is 1,500 machine hours per month. What is the contribution margin per machine hour for bread machines?

Quizplus · Accepted Answer

The Answer of Easy Cook Company manufactures two products: toaster ovens and bread machines. The following data are available:
$$\begin{array} { | l | r | r | } 
\hline & \text { Toastar Ovens } & \text { Bread Machines } \
\hline \text { Sale price } & \$ 60 & \$ 135 \
\hline \text { Variable costs } & \$ 38 & \$ 62 \
\hline
\end{array}$$
-
Easy Cook can manufacture five toaster ovens per machine hour and three bread machines per machine hour. Easy Cook's production capacity is 1,500 machine hours per month. What is the contribution margin per machine hour for bread machines?

Easy Cook Company Manufactures Two Products: Toaster Ovens and Bread