Figure 13-5

question 32

Multiple Choice

Figure 13-5. Santorino Company produces two models of a component,Model K-3 and Model P-4.The unit contribution margin for Model K-3 is $6; the unit contribution margin for Model P-4 is $14.Each model must spend time on a special machine.The firm owns two machines that together provide 4,000 hours of machine time per year.Model K-3 requires 15 minutes of machine time; Model P-4 requires 30 minutes of machine time.
Refer to Figure 13-5.What is the amount of machine time for model K-3 in terms of percent of a machine hour?

• A)10%
• B)20%
• C)25%
• D)40%
• E)50%

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Definitions:

First Draft

The initial version of a document or piece of writing, before any revisions or edits have been made.

Revise

The act of re-examining and modifying something, such as a document or plan, to correct or improve it.

Concise

Expressing much in few words; clear and brief in communication.

Planning Stage

The initial phase where strategies and measures are devised before executing a project or activity.