Accounting 9706 · AS & A Level · Costs and cost behaviour

Costs and cost behaviour — practice question

A company’s limiting factor is production materials, and it makes three different products. Which product should it produce first to maximise profits?

  • Athe product making the highest contribution per kilo of materials
  • Bthe product making the highest number of unit sales
  • Cthe product making the most contribution per unit
  • Dthe product using the least materials per unit

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