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Meier Corporation Produces Two Products, Pots and Pans If at Least 10,000 Units of Either Pots And/or Pans

Question 83

Multiple Choice

Meier Corporation produces two products, Pots and Pans.The following information is available for these two products:  Pots  Pans  Selling price per unit $21.00$15.00 Variable cost per unit 18.009.00 Total fixed costs $15,000 Total production capacity 10,000 units \begin{array}{lrr}&\text { Pots }&\text { Pans }\\\text { Selling price per unit } & \$ 21.00 & \$ 15.00 \\\text { Variable cost per unit } & 18.00 & 9.00 \\& & \\\text { Total fixed costs } & \$ 15,000 & \\\text { Total production capacity } &{10,000} & \text { units }\end{array} If at least 10,000 units of either Pots and/or Pans can be sold, it is best to produce _____


A) Pans only
B) Pots only
C) 2,500 units of Pots and 7,500 units of Pans
D) 5,000 units of Pots and 5,000 units of Pans

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