Greg’s Breads can produce and sell only one of the following two products: Oven Contribution Hours             Required          Contribution Margin Per Unit Muffins                0.2  hour                 $3 Coffee Cakes     0.3 hour                $4 The company has oven capacity of 1,500 hours. How much will contribution margin be if it produces only the most profitable product? Group of answer choices $30,000 $15,000 $22,500 $20,000

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Greg’s Breads can produce and sell only one of the following two products:

Oven Contribution

Hours             Required          Contribution Margin Per Unit

Muffins                0.2  hour                 $3

Coffee Cakes     0.3 hour                $4

The company has oven capacity of 1,500 hours. How much will contribution margin be if it produces only the most profitable product?

Group of answer choices
$30,000
$15,000
$22,500
$20,000
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