Duo company manufactures two products, uno and dos. contribution margin data follow.
uno dos
unit sales $ 13.00 $ 31.00
less variable cost:
direct material $ 7.00 $ 5.00
direct labor 1.00 6.00
variable overhead 1.25 7.50
variable selling and administrative cost 0.75 0.50
total variable cost $ 10.00 $ 19.00
unit contribution margin $ 3.00 $ 12.00
duo company’s production process uses highly skilled labor, which is in short supply. the same employees work on both products and earn the same wage rate.
required:
1. calculate the contribution margin per scarce resource for each of the products assuming an arbitrary time period for which direct laborers earn $1.00 per unit.
2. which of duo company’s products is most profitable?

Responsible for setting the goals and planning for the future as well as leading and controlling the work of others. out the decisions of top management. often responsible for various departments such as the production, marketing, and accounting departments. process or function of planning organizing leading and controlling. the resources arranged in an orderly and functional way to accomplish goals and objectives. the company on track and making sure goals are met. for the daily operations of a business. examples of this are supervisors, office managers, and crew leaders. act or process of creating goals and objectives as well as the strategies to meet them. for the daily operations of a business. examples of this are supervisors, office managers, and crew leaders. how the firm is structured and who is in charge of whom. direction and vision

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The following information is from the 2019 records of albert book shop: accounts receivable, december 31, 2019 $ 42 comma 000 (debit) allowance for bad debts, december 31, 2019 prior to adjustment 2 comma 000 (debit) net credit sales for 2019 179 comma 000 accounts written off as uncollectible during 2017 15 comma 000 cash sales during 2019 28 comma 500 bad debts expense is estimated by the method. management estimates that $ 5 comma 300 of accounts receivable will be uncollectible. calculate the amount of bad debts expense for 2019.