| Barclay manufactures three types of stained glass window, cleverly named Products A, B, and C. Information about these products follows: |
| Product A Don't use plagiarized sources. Get Your Custom Essay on prioritization of products with constrained resources 404199 For $10/Page 0nly | Product B | Product C | ||||
| Sales price | $ | 35 | $ | 45 | $ | 75 |
| Variable costs per unit | 17 | 21 | 32 | |||
| Fixed costs per unit | 5 | 5 | 5 | |||
| Required number of labor hours | 0.5 | 0.8 | 1.25 | |||
| Barclay currently is limited to 16,000 labor hours per month. |
| Requirement 1: |
| Determine contribution margin per direct labor hour.(Round your answers to 2 decimal place. Omit the “$” sign in your response.) |
| Contribution Margin per Direct Labor Hour: | |||
| Product A | $ | CM per DL hour | |
| Product B | $ | CM per DL hour | |
| Product C | $ | CM per DL hour | |
| Requirement 2: |
| Which company has the highest contribution margin per direct labor hour? |
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