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Christine's Chronographs makes two models of a high-end watchthe model 94 and the model 101. Both models go through a special polishing step that requires
Christine's Chronographs makes two models of a high-end watchthe model 94 and the model 101. Both models go through a special polishing step that requires the use of the single polishing machine at the company. The price and costs of the two models appear as follows. Price per watch Variable cost per watch Polishing hours per watch Model 94 $ 5,200 $ 2,650 2 Model 101 $ 9,400 $5,500 3 The polishing machine used for both models has a capacity of 28,200 hours annually. Fixed manufacturing costs are $7,650,000 annually. Required: a. Suppose that the maximum annual unit sales that Christine's can achieve is 12,500 units of the Model 94 and 10,400 of the Model 101. How many units of each watch model should Christine's produce annually? b. Suppose that the maximum annual unit sales that Christine's achieve make is 10,500 units of the Model 94 and 7,500 of the Model 101. How many units of each watch model should Christine's produce annually? Complete this question by entering your answers in the tabs below. Required A Required B Suppose that the maximum annual unit sales that Christine's can achieve is 12,500 units of the Model 94 and 10,400 of the Model 101. How many units of each watch model should Christine's produce annually? Model 94 Model 101 units units
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