Garson inc produces three products data concerning the

Reference no: EM13603522

Garson, Inc. produces three products. Data concerning the selling prices and unit costs of the three products appear below: Product F Product G Product H Selling price 50 80 70 Variable Costs 40 50 55 Fixed Cost 15 20 12 Milling Machine time(minutes) 4 2 5 Fixed costs are applied to the products on the basis of direct labor hours. Demand for the three products exceeds the company's productive capacity. The milling machine is the constraint, with only 2,400 minutes of milling machine time available this week.

Required:

a. Given the milling machine constraint, which product should be emphasized? Support your answer with appropriate calculations.

b. Assuming that there is still unfilled demand for the product that the company should emphasize in part (a) above, up to how much should the company be willing to pay for an additional hour of milling machine time?

Reference no: EM13603522

Questions Cloud

Adjusting entries shabbona corporation operates a retail : adjusting entries shabbona corporation operates a retail computer store. to improve delivery services to customers the

You are an accountant in the budgetary projections and : you are an accountant in the budgetary projections and special projects department of american conductor inc. a large

Question a 50- strand of dna carries charge per of length : question a 5.0- strand of dna carries charge per of length. treating it as a charged line whats the electric field

Determine the final density and temperature of the gas : natural gas at 70 f and standard atmospheric pressure of 14.7 psi is compressed isentropically to a new absolute

Garson inc produces three products data concerning the : garson inc. produces three products. data concerning the selling prices and unit costs of the three products appear

For each of the above transactions of pitt inc for the : following are the transactions of pitt inc. for the month of january 2012.a. sample borrowed 20000 from a local bank.b.

Jackson uses a predetermined overhead rate overhead for the : jackson uses a predetermined overhead rate. overhead for the next twelve months is estimated to be 400000. jackson

The attractive electrostatic force between the point : the attractive electrostatic force between the point charges 7.35x10-6c and q has a magnitude of 0.400n when the

Pieces of vulcanite were examined according to porosity and : pieces of vulcanite were examined according to porosity and dimensional defects and the results are shown below. test

User Account

All Pages