JK Company can sell all of the plush and supreme products it can produce, but it has limited production capacity. It can produce 4 plush units per hour or 2 supreme units per hour, and it has 2,000 production hours available. Contribution margin per unit is $214 for the plush product and $300 for the supreme product. What is the most profitable sales mix for JK Company?
A. 4,000 plush units and 2,000 supreme units.
B. 8,000 plush units and 0 supreme units.
C. 0 plush units and 4,000 supreme units.
D. 4,000 plush units and 4,000 supreme units.
E. 8,000 plush units and 4,000 supreme units.
Answer: B
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