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Easy Cook Company Manufactures Two Products: Toaster Ovens and Bread

Question 84

Multiple Choice

Easy Cook Company manufactures two products: toaster ovens and bread machines. The following data are available:
 Toaster Ovens  Bread Machines  Sale price $60$135 Variable costs $38$62\begin{array} { | l | r | r | } \hline & \text { Toaster 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, and Easy Cook can sell as many units of either type as it can produce. To maximize profits, what product and how many units should the company produce in a month?


A) 4,500 bread machines
B) 2,250 toaster ovens and 3,750 bread machines
C) 3,750 toaster ovens and 2,250 bread machines
D) 7,500 toaster ovens

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