Mountaineer Products Mountaineer Products manufactures two types of tents: single-wall and double-wall. Selected data related to each type of tent is as follows:
Total fixed overhead is $150,000. Most of the manufacturing process is done on specialized machines. For the upcoming year, there is a maximum of 9,000 machine hours available. Management believes there is sufficient demand for 3,000 single-wall and 4,000 double-wall tents each year.
Refer to the Mountaineer Products information above. If the company produces in order to maximize its profits, what would be the contribution margin for the upcoming year?

Question

Mountaineer Products Mountaineer Products manufactures two types of tents: single-wall and double-wall. Selected data related to each type of tent is as follows:
 Total fixed overhead is $150,000. Most of the manufacturing process is done on specialized machines. For the upcoming year, there is a maximum of 9,000 machine hours available. Management believes there is sufficient demand for 3,000 single-wall and 4,000 double-wall tents each year.
Refer to the Mountaineer Products information above. If the company produces in order to maximize its profits, what would be the contribution margin for the upcoming year?

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The Answer of Mountaineer Products Mountaineer Products manufactures two types of tents: single-wall and double-wall. Selected data related to each type of tent is as follows:
 Total fixed overhead is $150,000. Most of the manufacturing process is done on specialized machines. For the upcoming year, there is a maximum of 9,000 machine hours available. Management believes there is sufficient demand for 3,000 single-wall and 4,000 double-wall tents each year.
Refer to the Mountaineer Products information above. If the company produces in order to maximize its profits, what would be the contribution margin for the upcoming year?

Mountaineer Products Mountaineer Products Manufactures Two Types of Tents: Single-Wall