Barlow Company manufactures three products - A, B, and C. The selling price, variable costs, and contribution margin for one unit of each product follow The same raw material is used in all three products. Barlow Company has only 5.400 pounds of raw material on hand and will not be able to obtain any more of it for several weeks due to a strike in its supplier's plant. Management is trying to decide which product(s) to concentrate on next week in filing its backlog of orders. The material costs $6 per pound Required: 1. Caiculate the contribution matgin per pound of the constraining resource for each product. 2. Assuming that Barfow has untimited demand for each of its three products, what is the maximum contribution margin the company can eam when using the 5.400 pounds of raw material on hand? 3 Assuming that Batiow's estimated customer demand is 600 units pet product line what is the maximum contribution margin the company can earn when using the 5.400 pounds of now matectal on hand? 4. A foreign supplier could fumbih Bariow with additional stocks of the raw materlat at a substantial premium over the usual price Assuming Barfows estamated customer demand is 600 units per product ine and that the company has used its 5,400 pounds of raw. material in an ootimal tashion. What is the hiahest orice Bariow Combanv should be wilina to bay for an additional pound of materials? Assuming Barlows estimated customer demand is 600 units per product line and that the company has used its 5.400 pounds of raw material in an optimal fashion, what is the highest price Barlow Company should be willing to pay for an additional pound of materials? Complete this question by entering your answers in the tabs below. Calculate the contribution margin per pound of the constraining resoutce for each pruduct. 4. A foreign supplier could furnish Barlow with additional stocks of the raw material at a substantial premium over the usual price Assuming Barlow's estimated customer demand is 600 units per product line and that the company has used its 5,400 pounds of raw material in an optimal fashion, what is the highest price Barlow Company should be willing to pay for an additional pound of materials? Complete this question by entering your answers in the tabs below. Assuming that Barlow has unlimited demand for each of its three products, what is the maximum contribution margin the company can earn when using the 5,400 pounds of raw materiat on hand? A foreign supplier could furnish Barlow with additional stocks of the raw material at a substantial premium over the usual price suming Bariow's estimated customer demand is 600 units per product line and that the company has used its 5,400 pounds of ro Bterial in an optimal fashion, what is the highest price Barlow Company should be willing to pay for an additional pound of materia Complete this question by entering your answers in the tabs below. Assuming that Barlow's ostimated customer demand is 600 units per product line, what is the maximum contribution margin the company can eam when using the 5,400 pounds of raw material on hand? 4. A foreign supplier could furnish Bariow with additional stocks of the raw material at a substantial premium over the usual price Assuming Barlow's estimated customer demand is 600 units per product line and that the company has used its 5.400 pounds of raw material in an optimal fashton, what is the highest price Barlow Company should be willing to pay for an additional pound of materials? Complete this question by entering your answers in the tabs below. A foreign supplier could fumish Barlaw with additional stocks of the raw material at a substantial peemitum over the usual price. Ascuming Barlow's estimated customer demand 15.600 units per product line artid that the company has used its 5,400 . poundi of raw materiat in a optimal fashion, What is the highest price Bafow company should tie witting to pay for an additional pound of materials
