Barlow Company manufactures three products-A B, and C. The selling price, variable costs, and contribution margin for one unit of each product follow Product C $ 240 $ 220 $180 Selling price Variable expenses Direct materials Other variable expenses Total variable expenses Contribution margin Contribution margin ratio 18 126 144 5 36 72 96 168 $ 72 10 140 170 $ SO int 200 303 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 filling its backlog of orders. The material costs $6 per pound. Required: 1 Calculate the contribution margin per pound of the constraining resource for each product. (Hint: use the DM cost in the table and the cost per pound given in the additional information to calculate how many pounds are used by each product) 2. Assuming that Barlow has unlimited demand for each of its three product, what is the maximum contribution margin the company can eam when using the 5,400 pounds of raw material on hand? 3. Assuming that Barlow's estimated customer demand is 600 units per product line, what is the maximum contribution margin the company can earn when using the 5,400 pounds of raw material on hand? (See the hint below if you need help) 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? (See the hint below if you need help.) Complete this question by entering your answers in the tabs below. 2. 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 material on hand? 3. Assuming that Barlow's estimated customer demand is 600 units per product line, what is the maximum contribution margin the company can earn when using the 5,400 pounds of raw material on hand? (See the hint below if you need help.) 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? (See the hint below if you need help.) Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Calculate the contribution margin per pound of the constraining resource for each product. Contribution margin per pound of the constrained resource Red Required 2 > Hint for part 3: Figure out how many units of each product they would make given the demand constraint the materials constraint 4. A foreign supplier could furnish Barlow with additional stocks of the raw material at a substantial premium over the usual Assuming Barlow's estimated customer demand is 600 units per product line and that the company has used its 5,400 pou material in an optimal fashion, what is the highest price Barlow Company should be willing to pay for an additional pound of (See the hint below if you need help.) Complete this question by entering your answers in the tabs below. Required 1 Reguiled 2 Required 3 Required 4 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 material on hand? Maximum contribution margin ssuming that Barlow has unlimited demand for each of its three products, what is the maximum contribution ma earn when using the 5,400 pounds of raw material on hand? Assuming that Barlow's estimated customer demand is 600 units per product line, what is the maximum contributi mpany can earn when using the 5,400 pounds of raw material on hand? (See the hint below if you need help.) A foreign supplier could furnish Barlow with additional stocks of the raw material at a substantial premium over the suming Barlow's estimated customer demand is 600 units per product line and that the company has used its 5,40 aterial in an optimal fashion, what is the highest price Barlow Company should be willing to pay for an additional pou ee the hint below if you need help.) Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Assuming that Barlow's estimated customer demand is 600 units per product line, what is the maximum contribution margin the company can earn when using the 5,400 pounds of raw material on hand? Maximum contribution margin ssuming that Barlow has unlimited demand for each of its three products, what is the maximum contribution margin the earn when using the 5,400 pounds of raw material on hand? Assuming that Barlow's estimated customer demand is 600 units per product line, what is the maximum contribution margi mpany can earn when using the 5,400 pounds of raw material on hand? (See the hint below if you need help.) A foreign supplier could furnish Barlow with additional stocks of the raw material at a substantial premium over the usual pri suming Barlow's estimated customer demand is 600 units per product line and that the company has used its 5,400 pound aterial in an optimal fashion, what is the highest price Barlow Company should be willing to pay for an additional pound of m See the hint below if you need help.) Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 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? Show less Highest price willing to pay per pound