Ivanhoe, Inc. produces three types of balloons-small, medium, and large-with the following characteristics: Selling price per...

 

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Ivanhoe, Inc. produces three types of balloons-small, medium, and large-with the following characteristics: Selling price per unit Variable cost per unit Contribution margin per unit Machine hours per unit Demand in units Small $8 2 $6 1 530 Medium $8 5 $3 2.4 1,070 Large $10 6 $4 3 850 The company has only 2,000 machine hours available each month. How many units of each type of balloon should the company make to maximize its total contribution margin? (Round answers to 0 decimal places, e.g. 5,275.) Ivanhoe, Inc. produces three types of balloons-small, medium, and large-with the following characteristics: Selling price per unit Variable cost per unit Contribution margin per unit Machine hours per unit Demand in units Small $8 2 $6 1 530 Medium $8 5 $3 2.4 1,070 Large $10 6 $4 3 850 The company has only 2,000 machine hours available each month. How many units of each type of balloon should the company make to maximize its total contribution margin? (Round answers to 0 decimal places, e.g. 5,275.)

Answer rating: 100% (QA)

Contribution margin per hour Ranking unit Divide Number of machine hours 1 Contribution ... View the full answer