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Britt, located in Port St. Lucie, Florida, produces two lines of electric toothbrushes: deluxe and standard. Because Britt can sell all the toothbrushes it
Britt, located in Port St. Lucie, Florida, produces two lines of electric toothbrushes: deluxe and standard. Because Britt can sell all the toothbrushes it can produce, the owners are expanding the plant. They are deciding which product line to emphasize. To make this decision, they assemble the following data: (Click the icon to view the data.) After expansion, the factory will have a production capacity of 5,000 machine hours per month. The plant can manufacture either 60 standard electric toothbrushes or 27 deluxe electric toothbrushes per machine hour. Read the requirements Data table Requirement 1. Identify the constraining factor for Britt Britf's constraint is Requirement 2. Prepare a product mix analysis to show which product line to emphasize Deluxe Standard Toothbrushes Toothbrushes Sales price Contribution margin per Decision Requirements 1. Identify the constraining factor for Brit 2. Prepare an analysis to show which product line to emphasize Per Unit Deluxe Standard Toothbrush Toothbrush $ 88 48 Variable costs 23 17 05 31 Contribution margin Contribution margin ratio 73.9% 64.5% Print Done Next X
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