Paste Update Available We've made some fixes and improvements. To complete the proce K18 X V I LL WU CO Limiting factor Assessment A company produces three products for which budgeted information is as follows: Model Model AA BB Costs per unit Material 112.00 168.00 Labour 29.00 21.75 Variable overhead 11.00 22.00 Total variable costs 152.00 211.75 Contribution per unit 10.00 14.00 Selling price per unit 162.00 225.75 Model AA The company can sell all it can produce. Model BB Legally imposed quotas restrict sales to a maximum of: 25,000 units Due to material shortage the current availability is restricted to: 82,560 kg Material cost per kg (f): 28 per kg Due to the lack of skilled labour in the market the amount of labour time cannot be exceeded beyond: 29,325 hours Direct labour is paid at the rate of (f): 14.50 per hour Fixed costs in total will amount to (E): 28,000 Required: 1 Illustrate graphically the means of determining the mix which optimises production capacity. Having drawn the graph, prove the result obtained from it using mathematical means. 2 Use the graph to identify the production plan which will maximise profit and prepare a profit statement. 3 Prepare a short report wth your recommendations/justifications. Your report should also identify three problemswhich may be encountered if the company changes to the optimum mix. Task Data Proof Graph + Ready