Refer to the Kellerman Detailing Service Information Below Most of the Car Detailing Is Done by Hand

Refer to the Kellerman Detailing Service information below.
Kellerman Detailing Service
Kellerman Detailing Service provides two types of car detailing packages: the standard and the deluxe. Selected data related to each package is as follows:
$\begin{array}{lrr}&\text { Standard}&\text { Deluxe }\\\text { Sales price } & \$ 85 & \$ 200 \\\text { Direct materials } & 5 & 10 \\\text { Direct labour } & 15 & 40 \\\text { Variable overhead } & 5 & 15 \\\text { Direct labour hours } & 2 & 3\end{array}$

Most of the car detailing is done by hand.
-For the upcoming year,there is a maximum of 4050 direct labour hours available.Management believes that the demand for both the standard and deluxe detailing is limited to 900 each per year.How many standard and deluxe detailing jobs should be sold in the upcoming year in order to maximise profits?

A) Standard: 900 Deluxe: 750
B) Standard: 675 Deluxe: 900
C) Standard: 900 Deluxe: 900
D) Standard: 450 Deluxe: 900

Correct Answer:

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