Products Green,Red,and White Have Unit Contribution Margins of $6

question 115

Multiple Choice

Products Green,Red,and White have unit contribution margins of $6.50,$12,and $10,respectively,and require 2,4,and 3 direct labor hours per unit,respectively.If demand currently is far exceeding supply,on which product should the company concentrate its efforts?

• A)Green
• B)Red
• C)White
• D)Either Green or Red