Which product should sandal tell sales people to emphasize

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Reference no: EM131973995

Problem

Sandel Company makes 2 products, footballs and baseballs. Additional information follows:


Footballs

Baseballs

Units

4000

2500

Sales

$60,000

$25,000

Variable Costs

$36,000

$7,000

Fixed Costs

$9,000

$9,000

Net Income

$15,000

$9,000

Profit per unit

$3.75

$3.60

Instructions

Sandel has unlimited demand for both products but limited resources to produce both products. Therefore, which product should Sandal tell his sales people to emphasize (please cleary show your work on how you reached this conclusion)?

Reference no: EM131973995

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