QUESTION 41 dKristen Company manufactures three products: X, Y, and Z. The demand for each product is 100 units. The selling price, variable expenses, and contribution margin for one unit of each product follow: Product X Y Z Selling price $140 $300 $390 Less variable expenses (Only Special steel) 50 100 150 Contribution margin $90 $200 $240 Steel need to make 1 unit 1 kg 2 kg 3 kg The same special steel is used for all three products. 1 kg of the steel costs $50. Kristen can buy up to 400 kgs. Assume that Kristen can also buy Product Y from an importer and resell it. The purchase price of Y would be $270 per unit. In this case, in what order does the company have to make the products? A. X è Z è Y B. Y è X è Z C. Y è Z è X D. Z è X è Y E. X è Y è Z
QUESTION 41
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dKristen Company manufactures three products: X, Y, and Z. The demand for each product is 100 units. The selling price, variable expenses, and contribution margin for one unit of each product follow:
Product
X
Y
Z
Selling price
$140
$300
$390
Less variable expenses
(Only Special steel)
50
100
150
Contribution margin
$90
$200
$240
Steel need to make 1 unit
1 kg
2 kg
3 kg
The same special steel is used for all three products. 1 kg of the steel costs $50. Kristen can buy up to 400 kgs.Assume that Kristen can also buy Product Y from an importer and resell it. The purchase price of Y would be $270 per unit. In this case, in what order does the company have to make the products?
A. X è Z è Y
B. Y è X è Z
C. Y è Z è X
D. Z è X è Y
E. X è Y è Z
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