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Blanks Products, located in Atlanta comma Georgia, produces two lines of electric toothbrushes: Deluxe and Standard. Because Blank can sell all the toothbrushes it produces,

Blanks Products, located in Atlanta comma Georgia, produces two lines of electric toothbrushes: Deluxe and Standard. Because Blank can sell all the toothbrushes it produces, the owners are expanding the plant. They are deciding which product line to emphasize. To make this decision, they assemble the following data:

Per Unit

Deluxe

Standard

Toothbrush

Toothbrush

Sales price. . . . . . . . . . . . . . . . . . . .

$84

$45

Variable expenses. . . . . . . . . . . . . . . . .

22

16

Contribution margin. . . . . . . . . . . . . .

$62

$29

Contribution margin ratio. . . . . . . . . .

73.8%

64.4%

After expansion, the factory will have a production capacity of 4 comma 200 machine hours per month. The plant can manufacture either 68 Standard electric toothbrushes or 26 Deluxe electric toothbrushes per machine hour. Requirements 1. Identify the constraining factor for Blank Products. 2. Prepare an analysis to show which product line to emphasize.

Requirement 1. Identify the constraining factor for Blanks constraint is direct materials labor hours machine hours .

Requirement 2. Prepare an analysis to show which product line to emphasize. Blanks Products Product Mix Analysis Deluxe Standard

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Brett Products, located in Atlanta, Georgia, produces two lines of electric toothbrushes: Deluxe and Standard. Because Brett can sell all the toothbrushes it produces, the owners are expanding the plant. They are deciding which product line to emphasize. To make this decision, they assemble the following data: After expansion, the factory will have a production capacity of 4.200 machine hours per month. The plant can manufacture either 68 Standard electric toothbrushes or 26 Deluxe electric toothbrushes per machine hour. Requirements 1. Identify the constraining factor for Brett Products. 2. Prepare an analysis to show which product line to emphasize. (Click the icon to view the data.) Requirement 1. Identify the constraining factor for Brett. Brett's constraint is Requirement 2. Pre which product line to emphasize. direct materials Products labor hours Mix Analysis machine hours lot oratoram number in the input fields and then continue to the next question. Requirement 2. Prepare an analysis to show which product line to emphasize. Brett Products Product Mix Analysis Deluxe Standard Choose from any list or enter any number in the input fields and then continue to the next questi Decision: Choose fro Emphasize the Brett Standard electric toohbrushes. Emphasize the Brett Deluxe electric toohbrushes. en continue to the next quest A Data Table Per Unit Deluxe Toothbrush Sales price 84 Variable expenses....... 22 Contribution margin .... ............$ 62 Contribution margin ratio 73.8% Standard Toothbrush $ 45 16 $ 29 64.4% Print er any ny Done

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