Custom Furniture Manufactures a Small Table and a Large Table

question 137

Multiple Choice

Custom Furniture manufactures a small table and a large table. The small table sells for $800, has variable costs of $520 per table, and takes eight direct labor hours to manufacture. The large table sells for $1,200, has variable costs of $720, and takes sixteen direct labor hours to manufacture. Calculate the contribution margin per direct labor hour for the large table.

• A) $30 per direct labor hour
• B) $32 per direct labor hour
• C) $35 per direct labor hour
• D) $36 per direct labor hour

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Definitions:

Recursive Method

A method that calls itself in order to solve a problem by breaking it down into simpler, similar problems.

Invokes Itself

Describes a method or function that calls itself, a technique known as recursion, often used for solving iterative problems efficiently.

Stack Overflow

An error that occurs when a program uses more stack memory than is allocated, often resulting in a crash.

Stack Underflow

An error condition that occurs when attempting to remove an item from an empty stack.