Adorn Furniture Manufactures a Small Table and a Large Table

question 27

Multiple Choice

Adorn Furniture manufactures a small table and a large table.The small table sells for $800,has variable costs of $560 per table,and takes 10 direct labor hours to manufacture.The large table sells for $1620,has variable costs of $980,and takes eight direct labor hours to manufacture.Calculate the contribution margin per direct labor hour for the small table.

• A)$240 per direct labor hour
• B)$64 per direct labor hour
• C)$24 per direct labor hour
• D)$56 per direct labor hour

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