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What is the most profitable sales mix for Boujee Bison

What is the most profitable sales mix for Boujee Bison

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Boujee Bison Company produces two products, Basic and Boujee. Boujee Bison can sell all of the Basic and Boujee products it can produce, but it has limited production capacity. Machine hours per unit for Basic is 720,000 hour and for Boujee is 460,000.0 hours. The company has 122,500 machine hours available. Contribution margin per unit is $960,000.00 for Basic and $1.00 for Boujee. What is the most profitable sales mix for Boujee Bison Company? Multiple Choice 306,250 Basic units and 653,750 Boujee units. 55 Basic units and 15 Boujee units. 15 Basic units and 25 Boujee units. 20 Basic units and 22 Boujee units. 768,000 Basic units and 384,000 Boujee units. < Prev 11 of 18 Next >
Transcribed Image Text:Boujee Bison Company produces two products, Basic and Boujee. Boujee Bison can sell all of the Basic and Boujee products it can produce, but it has limited production capacity. Machine hours per unit for Basic is 720,000 hour and for Boujee is 460,000.0 hours. The company has 122,500 machine hours available. Contribution margin per unit is $960,000.00 for Basic and $1.00 for Boujee. What is the most profitable sales mix for Boujee Bison Company? Multiple Choice 306,250 Basic units and 653,750 Boujee units. 55 Basic units and 15 Boujee units. 15 Basic units and 25 Boujee units. 20 Basic units and 22 Boujee units. 768,000 Basic units and 384,000 Boujee units. < Prev 11 of 18 Next >
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