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Bento Inc. produces two products: Bento 350 and Benzo 230. The machines available can only work on one product at a time. The two products
Bento Inc. produces two products: Bento 350 and Benzo 230. The machines available can only work on one product at a time. The two products are produced in two departments using different grades of labour. The labour requirements for the two products are as follows: Minutes per unit Bento 350 | Bnzo 230 32 Department 1 Department 2 24 40 30 Labour hours is considered the limiting factor and the maximum times available each day in Departments I and 2 are 960 minutes and 1,680 minutes, respectively. The current unit selling prices and costs for the two products are shown below: Bento 350 Benzo 230 S130.00 $ 30.00 $12.40 Selling price $100,00 Direct materials $20.00 Direct labour Variable overheads $20,80 $12.80 S18.40 $36.80 Fixed overheads Profit per unit $25.60 $20.80 $32.40 As part of the budget-setting process, Bento Inc. needs to ascertain the optimum output levels. All output is sold. Reguired (a) Calculate the maximum number of each product that could be produce
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