What is letters most proftable sales mix


Question: Letter Systems lnc, has a limited amount of direct material available for products 1A1 and 2B2. Each unit of 1A1 has a contributionmargin of $12 and each unit of 2B2 has a contribution margin of $30. A unit of 2B2 uses three times as much direct material as a unit of1A1. What is Letter's most proftable sales mix, assuming there is unlimited demand for either product? O Make al 2B2. O Make all 1A1. OMake equal number of units of 1A1 and 2B2 OMake three times as many 1A1 as 2B2.

Request for Solution File

Ask an Expert for Answer!!
Accounting Basics: What is letters most proftable sales mix
Reference No:- TGS03417875

Expected delivery within 24 Hours