When making product mix decisions,companies are most profitable when they maximize production of the product with the greatest sales price.

Question

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When making product mix decisions, companies should consider both the sales price and the cost of production. Maximizing the production of a product with the greatest sales price may not always be the most profitable option if the cost of producing that product is also high. Companies should aim to maximize their overall profitability by considering factors such as production costs, sales prices, demand, and competition when making product mix decisions.

When Making Product Mix Decisions,companies Are Most Profitable When They