(SOLVED) ArchoChem Ltd manufactures two chemicals West 1 and West 2


Question Description:

$15

ArchoChem Ltd manufactures two chemicals, West 1 and West 2. Contribution margin data follow:
ArchoChem production process uses highly skilled labour, which is in short supply. The same employees work on both products and earn the same wage rate of $21 per hour.
Required
Which of ArchoChem’s products is the more profitable? Explain.

Answer

$15