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Business, 01.03.2021 22:20 maggie123456751

You have three product lines: Basic, Premium, and Supreme. You have limited capacity of 300 machine hours. You face excess demand for all three products (assume unlimited demand for simplicity).BasicPremiumSupremePric e per unit$3,600$8,400$12,000Unit variable cost$1,200$2,400$3,600Machine hours per unit124A. Compute the CM per unit of capacity (i. e, per machine-hour) for each product: Basic = $ per hour Premium = $ per hour Supreme = $ per hourB. Which product(s) should you make?Basic onlyPremium onlyMake all three products to take advantage of the high demandSupreme onlyHow many units of each product should you make? (enter 0 for products that you do not want to make) Basic = units Premium = units Supreme = unitsHint if you get stuck: You have 300 machine hours. Note: only the product with the highest CM per machine hour will be produced. The number of units produced is the total capacity (i. e., total available machine hours) divided by machine hours required per unit.

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