Bath company has a limited amount of direct material

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Reference no: EM13611233

Bath Company has a limited amount of direct material available for products 111 and 222. Each unit of 111 has a contribution margin of $5 and each unit of 222 has a contribution margin of $25. A unit of 222 uses four times as much direct material as a unit of 111. What is Bath's most profitable sales mix, assuming there is unlimited demand for either product?

Reference no: EM13611233

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