Tyler Guitars makes acoustic and electric guitars. It is struggling to determine the profitability of each...

  

  

  

 

 

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Tyler Guitars makes acoustic and electric guitars. It is struggling to determine the profitability of each guitar and deciding on which guitar to focus its sales efforts. Tyler currently operates a single 8-hour shift for 22 days per month. The Tableau Dashboard shows data from the recent month. Selling Price & Variable Costs per Guitar Acoustic Variable Cost Selling Price Acoustic Variable Cost: $95 Electric Variable Cost Selling Price Selling Price & Variable Costs per Guitar Acoustic Variable Cost Selling Price Acoustic Selling Price: $225 Electric Variable Cost Selling Price Prev Novi Selling Price & Variable Costs per Guitar Acoustic Variable Cost Selling Price Electric Variable Cost Selling Price Electric Variable Cost: $120 $50 $100 $150 $200 $250 $300 Machine Hours per Guitar Selling Price & variable Costs per Guitar Variable Cost Selling Price Acoustic Electric Variable Cost Selling Price Electric Selling Price: $300 SO $50 $100 $150 $200 $250 $300 Machine Hours per Guitar Maximum Guitar f 4 hrs. 150 guitars 3 hrs. 125 guitars 100 guitars 2 hrs. 75 guitars 50 guitars 1 hrs. Acoustic: 131 guitars 25 guitars O hrs. O guitars Acoustic Electric Acoustic Electric 1 of 1 Nex 150 guitars 125 guitars 3 hrs. 100 guitars 2 hrs. 75 guitars 50 guitars 1 hrs. 25 guitars O hrs. Acoustic Electric O guitars Electric: 65 guitars Acoustic Prov 1. The company is considering adding a second 8-hour shift for 22 days each month, which would increase fixed costs by $9,000. (a) Compute the most profitable sales mix for the company if it adds a second shift (b) Should the company add the second shift? Acoustic Electric Total Hours dedicated to the production of each product Units produced for the most profitable sales mix (b) Contribution margin per unit Total contribution margin - two shifts Total contribution margin- one shit Incremental revenue Change in contribution margin Incremental expense - Change in fxed costs Total incremental income Should the company add another shift? Tyler Guitars makes acoustic and electric guitars. It is struggling to determine the profitability of each guitar and deciding on which guitar to focus its sales efforts. Tyler currently operates a single 8-hour shift for 22 days per month. The Tableau Dashboard shows data from the recent month. Selling Price & Variable Costs per Guitar Acoustic Variable Cost Selling Price Acoustic Variable Cost: $95 Electric Variable Cost Selling Price Selling Price & Variable Costs per Guitar Acoustic Variable Cost Selling Price Acoustic Selling Price: $225 Electric Variable Cost Selling Price Prev Novi Selling Price & Variable Costs per Guitar Acoustic Variable Cost Selling Price Electric Variable Cost Selling Price Electric Variable Cost: $120 $50 $100 $150 $200 $250 $300 Machine Hours per Guitar Selling Price & variable Costs per Guitar Variable Cost Selling Price Acoustic Electric Variable Cost Selling Price Electric Selling Price: $300 SO $50 $100 $150 $200 $250 $300 Machine Hours per Guitar Maximum Guitar f 4 hrs. 150 guitars 3 hrs. 125 guitars 100 guitars 2 hrs. 75 guitars 50 guitars 1 hrs. Acoustic: 131 guitars 25 guitars O hrs. O guitars Acoustic Electric Acoustic Electric 1 of 1 Nex 150 guitars 125 guitars 3 hrs. 100 guitars 2 hrs. 75 guitars 50 guitars 1 hrs. 25 guitars O hrs. Acoustic Electric O guitars Electric: 65 guitars Acoustic Prov 1. The company is considering adding a second 8-hour shift for 22 days each month, which would increase fixed costs by $9,000. (a) Compute the most profitable sales mix for the company if it adds a second shift (b) Should the company add the second shift? Acoustic Electric Total Hours dedicated to the production of each product Units produced for the most profitable sales mix (b) Contribution margin per unit Total contribution margin - two shifts Total contribution margin- one shit Incremental revenue Change in contribution margin Incremental expense - Change in fxed costs Total incremental income Should the company add another shift?

Answer rating: 100% (QA)

Accoustic Electric Total a Hours dedicated to the production of each product 262 90 352 Uni... View the full answer