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The Following Information Has Been Supplied Regarding Three Products

Question 24

Multiple Choice

The following information has been supplied regarding three products. The following information has been supplied regarding three products.   Assuming that the current restriction on labour is 7000 hours, what is the total cost of labour per unit that needs to be considered before management can decide whether to employ additional labour or not? (Hint: First calculate the contribution per unit of labour and determine which products will be produced at the current available hours.)  A)  $1 B)  $4.60 C)  $3.60 D)  $2 Assuming that the current restriction on labour is 7000 hours, what is the total cost of labour per unit that needs to be considered before management can decide whether to employ additional labour or not? (Hint: First calculate the contribution per unit of labour and determine which products will be produced at the current available hours.)


A) $1
B) $4.60
C) $3.60
D) $2

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