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  3. ab company makes two products, a and b. fixed cost

AB Company makes two products, A and B. Fixed costs per month are $5,000. Selling...

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Accounting

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AB Company makes two products, A and B. Fixed costs per month are $5,000. Selling prices and variable costs per unit are: Unit selling price Unit variable cost A $20 $12 B $30 $14 A machine is used to manufacture A and B and has 150 hours available capacity per month. Product A takes 20 minutes of machine time per unit while Product B requires 30 minutes of machine time per unit. In addition to the machine time used, skilled labour is in short supply, there being only 200 hours per month available. Both products require 1 hour of skilled labour. Taking account of both the machine and skilled labour constraints, what is the optimum production schedule? O a. 400 of A O b. 450 of A or 400 of B O c. 300 of A and 100 of B 11:10 AM 6/13/2020 PC

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