Use the Information Below to Answer the Following Question(s)

question 205

Multiple Choice

Use the information below to answer the following question(s) :
Mama's Favourite Appliances manufactures two products: Food Processors and Espresso Makers. The following data are available:

The company can manufacture two food processors per machine hour and three espresso machines per machine hour. The company's production capacity is 1,200 machine hours per month.
-What is the contribution margin per machine hour for food processors?

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Definitions:

Particular Purpose

A specific objective or intended use for which something is designated or implemented.

Implied Warranty of Merchantability

A legal assumption that the goods sold meet certain quality standards, including that they are reasonably fit for their ordinary purpose.

Express Warranty

An explicit promise or assurance made by a seller about the condition, functionality, or quality of a product.

Sales Transaction

The process of exchanging a good or service for payment between a buyer and a seller.