Solved

Soap Company Manufactures Soap X and Soap Y and Can

Question 88

Multiple Choice

Soap Company manufactures Soap X and Soap Y and can sell all it can make of either. Hours available to produce the products is the constrained resources.Based on the following data, which statement is true? YX$25$20 Sales Price 1514 Variable Cost 53 Hours needed to process \begin{array}{|c|c|l|}\hline\mathrm{Y} & \mathrm{X}\\\hline \$ 25 & \$ 20 & \text { Sales Price } \\\hline 15 & 14 & \text { Variable Cost } \\\hline 5 & 3 & \text { Hours needed to process } \\\hline\end{array}


A) X is more profitable than Y.
B) Y is more profitable than X.
C) Neither X nor Y have a positive contribution margin.
D) X and Y are equally profitable.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions