Clay Corporation Manufactures Two Styles of Lamps-A Bedford Lamp and a Lowell

Clay Corporation manufactures two styles of lamps-a Bedford Lamp and a Lowell Lamp. The following per unit data are available:
$\begin{array}{|l|r|r|}\hline&\text { Bedford Lamp } &\text { Lowell Lamp }\\\hline \text { Sale price } & \$ 25 & \$ 35 \\\hline \text { Variable costs } & \$ 17 & \$ 23 \\\hline \text { Machine hours required for 1 lamp } & 2 & 4 \\\hline\end{array}$


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Total fixed costs are $30,000. Marketing data indicate that the company can sell up to 8,000 units of the Bedford lamp and up to 4,000 units of the Lowell lamp. Machine hour capacity is 25,000 hours per year. What product mix will deliver the optimum operating income?

A) 4,500 Bedford lamps, 4,000 Lowell lamps
B) 12,500 Bedford lamps, zero Lowell lamps
C) 8,000 Bedford lamps, 2,250 Lowell lamps
D) 7,500 Bedford lamps, 3,000 Lowell lamps