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Lit Furniture Manufactures a Small Table and a Large Table

Question 85

True/False

Lit Furniture manufactures a small table and a large table.The small table sells for $800,has variable costs of $770 per table and takes 8.00 labour hours to manufacture.The large table sells for $1 800,has variable costs of $900 and takes 10 direct labour hours to manufacture.If the company has no sales limitations on either product,they should make and sell as many of the large tables as possible to maximise operating profit.

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