Question

Ninja & Karate made three products, B, M, and T. Each product utilizes the same type of direct material. B uses 4.4 pounds of the material, M utilizes 3.3 pounds of the material, and T utilizes 6 pounds of the material. All products have a strong demand, but only 56,100 pounds of material are available. The below provides more details about the selling price per unit and variable cost per unit of each product.

	B				M				T
Selling price	$	168.76			$	115.72			$	202.60
Variable costs		101.00				88.00				136.00

Required:
1. What is the contribution margin per pound for each of the three products? (Round your answers to 2 decimal places.)

Required: 1. What is the contribution margin per pound for each of the three products? (Round your answers to 2 decimal places.) Contribution margin per pound в мт Contribution margin per pound Order in which products should be produced and filled:

Answer 1

В M Selling Price Less Varaible Cost Contribution Margin per Unit 115.72 202.6 168.76 136.00 101.00 88.00 67.76 27.72 66.60 Answer В M Contribution Margin per Unit 67.76 27.72 66.60 Pound per unit 4.40 3.30 6.00 Contribution Margin per Pound (CM PerUnit / Pounds) 15.40 8.40 11.10 Oreder in which prodcuts should be produced and filed Third Second First