Bogue Inc. produces four unique items: A, B, C and D. Information relating to the products and resources as outlined below:

	A	B	C	D
Sales price	$4.00	$3.00	$4.80	$6.40
Material costs	$1.60	$1.20	$3.60	$2.40
Direct labour cost	$1.20	$0.80	$0.60	$1.60
Machine time	4	2	3	5
Labour time	2	3	4	2
Monthly demand	4,000	4,000	5,000	3,000

Note: machine and labour time above are stated in minutes

Machine time is a bottleneck resource and maximum capacity is 800 machine hours. Operating cost which includes direct labour costs are $14,400 per month. The direct labour costs are $10 per hour.

Required:

a) Determine the profit maximizing outputs and the maximum profit. (13 marks)

b) Calculate the TPAR at this profit maximizing output. (2 marks)