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How many units should the company produce in a month

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Reference no: EM132510218

Brittany Furniture manufactures two products: Futons and Recliners. The following data are 3 available:
                                     Futons                   Recliners
Sales price                     $500.00                  $480.00
Variable costs                     $325.00               $120.00

  • The company can manufacture two futons per machine hour and one recliner per machine hour.
  • The company's production capacity is 900 machine hours per month.

Question 1: To maximize profits, what product and how many units should the company produce in a month?

A) 900 recliners
B) 1,800 futons
C) 1,800 futons and 900 recliners
D) 700 futons and 360 recliners

Reference no: EM132510218

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