Business, 15.05.2021 09:30 Angelanova69134

Cranston Corporation makes four products in a single facility. Data concerning these products appear below: Products
A B C D
Selling price per unit $ 42.30 $ 50.00 $ 37.60 $ 33.50
Variable manufacturing cost per unit $ 20.80 $ 30.70 $ 21.00 $ 19.90
Variable selling cost per unit $ 2.70 $ 2.10 $ 1.00 $ 2.40
Milling machine minutes per unit 3.30 4.10 2.60 1.30
Monthly demand in units 1,000 4,000 3,000 3,000

The milling machines are potentially the constraint in the production facility. A total of 28,200 minutes are available per month on these machines.
How many minutes of milling machine time would be required to satisfy demand for all four products?
A) 11,000
B) 28,200
C) 23,500
D) 31,400

Which product makes the MOST profitable use of the milling machines?
A) Product A
B) Product B
C) Product C
D) Product D

Answers: 1

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Cranston Corporation makes four products in a single facility. Data concerning these products appear...