Michino plc is a small manufacturing business based in the UK. It makes three products, details of which are shown below: All three products are produced on the same type

of machines. However, some of the machines have to be repaired and will be out of commission for a period of time. This means that the machine time is limited to 840 hours a week. Required: (a)Which combination of products should be produced if the business is to produce the highest profit? (b) By how much will the normal total contribution per week be reduced as a result of the limited number of machine hours? (c) Advise management as to what solutions it might consider that would lead to a higher level of contribution for the business.

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