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Contribution margin per machine hour for coffee makers

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Reference no: EM131755230

Brigg's Breakfast Appliances manufactures two products: Waffle Makers and Coffee Makers. The following data are available:

Waffle Makers

Coffee Makers

Sales price

$120

$215

Variable cost

$45

$150

The company can manufacture two waffle makers per machine hour and three coffee makers per machine hour. The company's production capacity is 1,200 machine hours per month.

What is the contribution margin per machine hour for coffee makers?

A. $1,095

B. $130

C. $65

D. $195

Reference no: EM131755230

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