Baxter corp currently makes 10000 subcomponents a year in

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Baxter Corp currently makes 10,000 subcomponents a year in one of its factories. The unit costs to produce are: An outside supplier has offered to provide Baxter Corp with the 10,000 subcomponents. What is the maximum price Baxter Corp should pay the outside supplier? Bisser, Inc. manufactures two products. It currently has 1,000 hours of direct labor and 2,000 hours of machine time available per month. The table below lists the contribution margin, labor and machine time requirements, and demand for each product. How much of each product should Bisser manufacture per month? Montgomery Corp sells two products. Product A sells for $200 per unit, and has unit variable costs of $150. Product B sells for $50 per unit, and has unit variable costs of $20. Currently, Montgomery sells three units of product B for every two units of product A sold. Montgomery has fixed costs of $760,000. How many units would Montgomery have to sell to earn a profit of $57,000?

Reference no: EM13581654

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