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How many units of each racquet should be manufactured

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Reference no: EM133032120

Question - The Badminton Company has 4,000 machine hours available annually to manufacture racquets. The following information is available for the two different racquets produced by Badminton:

Pro

Unit sales price $300

Unit variable costs $150

Annual demand 2,000 units

Machine time 1.50 hours per unit

Mid

Unit sales price $150

Unit variable costs $60

Annual demand 4,000 units

Machine time 2 hours per unit

Required - How many units of each racquet should be manufactured for the company to maximize its operating income?

A) 4,000 units of Mid and 500 units of Pro

B) 2,000 units of Pro and 4,000 units of Mid

C) 2,000 units of Pro and 1,200 units of Mid

D) 2,000 units of Pro and 500 units of Mid

Reference no: EM133032120

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