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What is the maximum contribution margin for the year

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Reference no: EM131807083

Question - The following are production and cost data for two products, X and Y.

Product X Product Y

Contribution margin per unit $450 $280

Machine set-ups needed per unit 25 14

The company can only perform 14,000 set-ups each period yet there is unlimited demand for each product. What is the maximum contribution margin for the year?

A) $450,000

B) $252,000

C) $156,800

D) $280,000

Reference no: EM131807083

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