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Container Solutions produces plastic storage bins for household storage needs (Click the icon to view additional information) Sales prices and variable costs are as follows:
Container Solutions produces plastic storage bins for household storage needs (Click the icon to view additional information) Sales prices and variable costs are as follows: (Click the icon to view the costs.) i Data Table quirements Requirement 1. Which product should Container Solution i ze? Why? Complete the product mix analysis to determine the contribution margin per machine hour. Regular Large $ 8.00 $ 10.30 3.00 4.00 Sales price per unit Variable costs per unit Container Solutions Product Mix Analysis Regular Large 10.30 i More Info Print Done 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 Container Solutions 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 3,200 hours per period. Container Solutions can produce 10 large bins every hour, whereas it can produce 15 regular bins in the same amount of time. Fixed costs amount to $120.000 per period Contribution margin per machine hour Which product should Container Solutions emphasize? Why? Enter any number in the edit fields and then continue to the next question Print Done
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