Figure 20-4 Heft Company Produces a and B with Contribution

Multiple Choice

Figure 20-4 Heft Company produces A and B with contribution margins per unit of $40 and $30, respectively.Only 500 labor hours and 300 machine hours are available for production.
Time requirements to produce one unit of A and B are as follows:

-Refer to Figure 20-4.What is the objective function to maximize profits for Heft Company?

A) Minimize 5A + 2B
B) Maximize 1A + 4B
C) Maximize 40A + 30B
D) Minimize 40A + 30B