Home Service Company offers monthly service plans to provide prepared meals that are delivered to customers’ homes and need only be heated in a microwave or conventional oven. Home Service offers two monthly plans, premier cuisine and haute cuisine. The premier cuisine plan provides frozen meals that are delivered twice each month; the premier generates a contribution of $150 for each monthly service plan sold. The haute cuisine plan provides freshly prepared meals delivered on a daily basis and generates a contribution of $100 for each monthly plan sold. Home Service’s strong reputation enables it to sell all meals that it can prepare.

Each meal goes through food preparation and cooking steps in the company’s kitchens. After these steps, the premier cuisine meals are flash frozen. The time requirements per monthly meal plan and hours available per month follow:

	Preparation	Cooking	Freezing
Hours Required -
Premier cuisine	3	2	1
Haute cuisine	1	3	0
Hours available	80	120

Review the Variable Cells Table in your Sensitivity Report. What is the highest per-unit Contribution Margin for the Haute Cusine product at which the optimum solution holds?

Answer rating: 100% (QA)

Given Data Preparation Cooking Freezing Hours required Premier cuisine 3 2 1 Haute cuisine 1 3 0 Hours availablemonth 80 120 45 1 Solve for all three ... View the full answer