Considerable market demand exists for all models the

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: erable market demand exists for all models. The following per unit data apply: Model X Model Y Model Z Selling price 80 90 100 Direct materials 30 30 30 Direct labour ($10 per hour) 15 15 20 Variable support costs ($5 per machine-hour) 5 10 10 Fixed support costs 20 20 20 Required: a. For each model, compute the contribution margin per unit. Selling price Direct materials Direct labour ($10 per hour) Variable support costs ($5 per machine-hour) CM / unit b. Model Y 90 30 15 10 35 Model Z 100 30 20 10 40 For each model, compute the contribution margin per machine-hour. Machine H...
View Full Document

This document was uploaded on 03/23/2014 for the course COMMERCE 2AB3 at McMaster University.

Ask a homework question - tutors are online