Homework Answers
| P1 | P2 | P3 | |
| Contribution margin per unit | 5 | 15 | 25 |
| X Units per hour | 12 | 6 | 3 |
| Contribution margin per hour | 60 | 90 | 75 |
| Company should produce P2 first, then P3 and at last P1 | |||
| Units of P2 = 24000 | |||
| Hours for P2 = 24000/6= 4000 | |||
| Units of P3 = 12000 | |||
| Hours for P3 = 12000/3= 4000 | |||
| Remaining hours for P1 | 1000 | =9000-4000-4000 | |
| Units of P1 = 1000*12 = 12000 | |||
| 12,000 P1, 24,000 P2, 12,000 P3 | |||
| Option A is correct | |||
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