
Concept Introduction:
The sales mix can be defined as the ratio of the different products that a company sells. Suppose, XYZ Ltd. Sells 10 units of Product A and 20 units of Product B. The sales mix will be – total 30 units, consists of 10 units of product A and 20 units of product B.
The most profitable sales mix can be defined as the sales mix which can give maximum benefit or then maximum contribution when we have a limiting resource.
A limiting resource can be defined as the resource which a company can use up to a limit. Suppose, a company can use only 50 labor hours in a week. So, the company has to determine the best sales mix which gives the maximum contribution using these 50 labor hours.
To determine:
The most profitable sales mix for Excel Memory Company.

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Chapter 25 Solutions
Fundamental Accounting Principles
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