Blomstrom Products Inc

question 9

Multiple Choice

Blomstrom Products Inc. makes two products-N81W and V55S. Product N81W's selling price is $20.00 and its unit variable cost is $12.00. Product V55S's selling price is $108.00 and its unit variable cost is $97.20. The monthly demand is 3,940 units for product N81W and 1,140 units for V55S. The constrained resource is a particular machine that is available for 10,400 minutes each month. Each unit of product N81W requires 2 minutes on this machine and each unit of product V55S requires 6 minutes on this machine.
-What is the maximum contribution margin the company can earn per month?

• A) $30,968
• B) $43,832
• C) $36,056
• D) $26,552

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Definitions:

Behavior Change

The process through which individuals modify their actions, habits, or attitudes, often for improved outcomes or health.

Attitudes

A learned tendency to evaluate objects, people, or issues in a particular way, which can affect thoughts, feelings, and behaviors.

Non Emotional Appeals

Persuasive strategies that rely on logic, facts, and evidence to influence others, as opposed to appealing to their emotions.

Environmental Impact

The effect of human activities and natural processes on the environment, including changes to ecosystems, biodiversity, and climate.