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The Cuthill Company manufactures two products: M1 and H1. Each product uses skilled labour and...

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Accounting

The Cuthill Company manufactures two products: M1 and H1. Each product uses skilled labour and the total hours of skilled labour available for the following year is limited to 23728 hours. Data for each of the two products is as follows:

M1

H1

Contribution margin per unit

$34.43

$52.86

Hours of skilled labour per unit

2.5

2.95

Maximum product demand (units)

6208

4177

What is the maximum contribution margin that can be achieved next year?

Select one:

a. $425174

b. $434538

c. $404556

d. $377878

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