Exercise ecisions Outdoor Luggage, Incorporated, makes high-end hard-sided luggage for sports equipment. Data concerning three of...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Exercise ecisions Outdoor Luggage, Incorporated, makes high-end hard-sided luggage for sports equipment. Data concerning three of the company's most popular models appear below. Ski Guard Golf Guard Fishing Guard Selling price per unit $ 220 Variable cost per unit $ 140 $ 330 $ 260 $ 200 $ 115 Plastic injection molding machine processing time required to produce one unit Pounds of plastic pellets per unit 4 minutes 12 pounds 12 minutes 15 pounds 9 minutes 13 pounds Required: 1. If we assume that the total time available on the plastic injection molding machine is the constraint in the production process, how much contribution margin per minute of the constrained resource is earned by each product? 2. Which product offers the most profitable use of the plastic injection molding machine? 3. If we assume that a severe shortage of plastic pellets has required the company to cut back its production so much that its new constraint has become the total available pounds of plastic pellets, how much contribution margin per pound of the constrained resource is earned by each product? 4. Which product offers the most profitable use of the plastic pellets? 5. Which product has the largest contribution margin per unit? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 If we assume that the total time available on the plastic injection molding machine is the constraint in the production process, how much contribution margin per minute of the constrained resource is earned by each product? (Round your final answers to 2 decimal places.) Contribution margin per minute of the constrained resource Ski Guard per minute Golf Guard per minute Fishing Guard per minute Exercise ecisions Outdoor Luggage, Incorporated, makes high-end hard-sided luggage for sports equipment. Data concerning three of the company's most popular models appear below. Ski Guard Golf Guard Fishing Guard Selling price per unit $ 220 Variable cost per unit $ 140 $ 330 $ 260 $ 200 $ 115 Plastic injection molding machine processing time required to produce one unit Pounds of plastic pellets per unit 4 minutes 12 pounds 12 minutes 15 pounds 9 minutes 13 pounds Required: 1. If we assume that the total time available on the plastic injection molding machine is the constraint in the production process, how much contribution margin per minute of the constrained resource is earned by each product? 2. Which product offers the most profitable use of the plastic injection molding machine? 3. If we assume that a severe shortage of plastic pellets has required the company to cut back its production so much that its new constraint has become the total available pounds of plastic pellets, how much contribution margin per pound of the constrained resource is earned by each product? 4. Which product offers the most profitable use of the plastic pellets? 5. Which product has the largest contribution margin per unit? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 If we assume that the total time available on the plastic injection molding machine is the constraint in the production process, how much contribution margin per minute of the constrained resource is earned by each product? (Round your final answers to 2 decimal places.) Contribution margin per minute of the constrained resource Ski Guard per minute Golf Guard per minute Fishing Guard per minute
Expert Answer:
Posted Date:
Students also viewed these accounting questions
-
In which section do you create VLAN on Cisco WLC ? ? Layer 3 3 Section Layer 2 2 Section Security Section RF Section
-
What effect do subsidiary treasury stock holdings have at the time the subsidiary is acquired? How should the treasury stock be treated on consolidated workpapers?
-
Is it ethical to use personal information on social networking sites to assess job candidates?
-
Determine what your personal values are, and compare them with those of a local health-care setting. Do you see a fit with your values and those of the organization?
-
Janet Ludlow is preparing a report on U.S.-based manufacturers in the electric toothbrush industry and has gathered the information shown in Tables B and C. Ludlows report concludes that the electric...
-
A company is going to issue a $ 1 , 0 0 0 par value bond that pays a 7 % annual coupon. The company expects investors to pay $ 9 4 2 for the 2 0 - year bond. The expected flotation cost per bond is $...
-
Under Title 18, US Code, Section 152, identify and explain three (3) of the possible Bankruptcy fraud offenses? Under 18 USC 1344 - Bank Fraud - the maximum penalty is how many years imprisoned? I n...
-
Describe and compare the two dimensions of the continuum model of leadership.
-
Do you believe results differ when men coach womens college teams? What about women coaching mens college teams? Defend your answers.
-
Give examples of MLB general managers who are transformational leaders.
-
List the three constant-control methods, the three periodic-control methods, and the four occasional-control methods.
-
How do managers commonly undermine employees motivation?
-
Split Company produces three products X, Y, and Z from a joint process. Each product may be sold at the split-off point or processed further. Additional processing requires no special facilities,...
-
The following information is available for Partin Company: Sales $598,000 Sales Returns and Allowances 20,000 Cost of Goods Sold 398,000 Selling Expense 69,000 Administrative Expense 25,000 Interest...
-
Dividends per Share Calculate the company's dividend paid per share of common stock. What was the dividend payout ratio? Use the following financial data for Brenner Instruments Sales revenue.. Cost...
-
Horizontal Analysis Total assets were \(\$ 1,000,000\) in \(2019, \$ 900,000\) in 2018 , and \(\$ 950,000\) in 2017. What was the percentage change from 2017 to 2018 and from 2018 to 2019? Was the...
-
Common-Size Income Statement A partial common-size income statement for Jag Company for three years is shown below. Did Jag's net income as a percentage of net sales increase, remain the same, or...
Study smarter with the SolutionInn App