Answered Essay: Zeke Co. manufactures two products that both require labor and machining.There is unlimited deman

Zeke Co. manufactures two products that both require labor and machining.There is unlimited demand for these products.

Unit sales and cost data and processing requirements follow:

Product A Product B
Selling Price $75 $200
Variable costs $25 $80
Machine hours required 0.4 1.2
Labor hours required 2 6
The company is limited to 160,000 machine hours and 120,000 labor hours. Fixed costs are $1,000,000

What is the most profitable mix of products to produce? Explain your answer

Expert Answer



Product A Product B
Selling Price 75 200
Variable Cost 25 80
Contribution Margin Per Unit 50 120
Contribution Margin Per m/h 125 100
Contribution Margin Per l/h 25 20

As Product A has the higher contribution margin thus higher incremental profit.

Fixed costs are not been included here are they are short term

Buy Essay
Calculate your paper price
Pages (550 words)
Approximate price: -

Help Me Write My Essay - Reasons:

Best Online Essay Writing Service

We strive to give our customers the best online essay writing experience. We Make sure essays are submitted on time and all the instructions are followed.

Our Writers are Experienced and Professional

Our essay writing service is founded on professional writers who are on stand by to help you any time.

Free Revision Fo all Essays

Sometimes you may require our writers to add on a point to make your essay as customised as possible, we will give you unlimited times to do this. And we will do it for free.

Timely Essay(s)

We understand the frustrations that comes with late essays and our writers are extra careful to not violate this term. Our support team is always engauging our writers to help you have your essay ahead of time.

Customised Essays &100% Confidential

Our Online writing Service has zero torelance for plagiarised papers. We have plagiarism checking tool that generate plagiarism reports just to make sure you are satisfied.

24/7 Customer Support

Our agents are ready to help you around the clock. Please feel free to reach out and enquire about anything.

Try it now!

Calculate the price of your order

Total price:

How it works?

Follow these simple steps to get your paper done

Place your order

Fill in the order form and provide all details of your assignment.

Proceed with the payment

Choose the payment system that suits you most.

Receive the final file

Once your paper is ready, we will email it to you.


Let us write that nagging essay.


Submit Your Essay/Homework Instructions

By clicking on the "PLACE ORDER" button, tell us your requires. Be precise for an accurate customised essay. You may also upload any reading materials where applicable.


Pick A & Writer

Our ordering form will provide you with a list of writers and their feedbacks. At step 2, its time select a writer. Our online agents are on stand by to help you just in case.


Editing (OUR PART)

At this stage, our editor will go through your essay and make sure your writer did meet all the instructions.


Receive your Paper

After Editing, your paper will be sent to you via email.

× How can I help you?