Famous Face Dolls Company manufactures and sells custom dolls through a
network of specialty stores. The face of each doll is handpainted by a highly skilled
craftsperson in the image of a popular public figure. Large dolls sell for
$ each and have a unit variable cost of $ Each large doll requires
minutes of painting time. Small dolls sell for $ and have a unit
variable cost of $ Each small doll requires minutes of painting time.
Typical demand is large dolls and small dolls per month. Due to upcoming
vacations, the amount of available facepainting time is limited to hours for the
next month.
The contribution margin per hour of painting time is:
a $ hour for large dolls and $ hour for small dolls
b $ hour for large dolls and $ hour for small dolls
c $ hour for large dolls and $ hour for small dolls
d $ hour for large dolls and $ hour for small dolls
