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ContainAll produces plastic storage bins for household storage needs (Click the icon to view additional information ) Sales prices and variable costs are as follow
ContainAll produces plastic storage bins for household storage needs (Click the icon to view additional information ) Sales prices and variable costs are as follow (Click the icon to view the costs.) Read the requirements Sales price per unit Variable costs per unit Regular Large $ 8.80 $ 10.50 3.70 4.40 Requirement 1. Which product should ContainAll emphasize? Why? Complete the product mix analysis to determine the contribution margin per machine hour Print Done ContainAll Product Mix Analysis - X Regular Large More info Sales price per unit Variable cost per unit Contribution margin per unit Units per machine hour The company makes two sizes of bins: large (50 gallon) and regular (35 gallon) Demand for the products is so high that containAll can sell as many of each size as it can produce. The company uses the same machinery to produce both sizes. The machinery can only be run for 2.800 hours per period. ContainAll can produce 9 large bins every hour, whereas it can produce 15 regular bins in the same amount of time. Fixed costs amount to $130,000 per period. Contribution margin per machine hour Which product should ContainAll emphasize? Why? ContainAll should emphasize the production of V because this product has the higher Print Done Requirement 2. To maximize profits, how many of each size bin should ContainAll produce? (Enter a "0" for any zero amounts.) ContainAll should spend machine hours making regular size bins, and
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