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Posted by: Homeworkhelp
Price Quoted by Student: $1.5
Posted On: 2012-03-26 11:11:09
 
Question

H55 Company sells  two products, beer and wine. Beer has a 10 percent profit margin and wine has a 12 percent profit margin. Beer has a 27 percent contribution margin and wine has a 25 percent contribution margin. If other factors are equal, which product should H55 push to customers?

            a. Beer

            b. Wine

            c. Selling either results in the same additional income for the company

            d. It should sell an equal quantity of both.


Solutions
H55 Company sells  two products, beer and win
Price $1.5
Attachment 1: H55 Company sells two products.doc
Solution Posted By: Homeworkhelp    Posted on: 26-03-2012