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Data table urs to Per Unit Deluxe Regular Sales Price $ 1,050 $ 540 Costs: 300 90 84 194 Direct materials Direct labor Variable manufacturing

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Data table urs to Per Unit Deluxe Regular Sales Price $ 1,050 $ 540 Costs: 300 90 84 194 Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead* Variable operating expenses 252 84 150 50 65 113 899 483 Total costs $ 151 $ 57 Operating income *allocated on the basis of machine hours Hosty Time produces two type of care treatment regular and done. The exercice craze is such that Healthy Tine could use all is wailable machine hours to produce either model. The two modes processed through the same production Data for models are as follows: em Cick the icon to view the data Read the recent Requirement 1. What is the constraint? Heathy Time's constraints machine hours Requirement 2. Which model should Healthy Time produce? Use the allocation of fred marturing overhead to determine the proportion of machine housed by each product) Heatty Time should produce the product with the highest contribution margin perunk of the constraint Now prepare the product me analysis by starting with the contribution margin per unit Deur Regular treadmill treadmill Sale priceperunt 5 1,050 $ 540 Variable costs per un 433 5 301 1 107 Contribution margin porn Nost, calculate the proportion of machine hoursused WING (Click the icon to view the data.) Read the requirements, 749 433 301 S 107 Variable costs per unit Contribution margin per unit Next, calculate the proportion of machine hours used. Proportion of machine hours used 75 % = 25 % Fixed overhead Total overhead Deluxe Treadmil $ 150 200 Regular Treadmill $ 50 $ 200 Finally , calculate the contribution margin per machine hour. Deluxe Regular treadmill treadmill Units that can be produced each machine hour Contribution margin per machine hour Help me solve this Etext pages Get more help Requirements 1. What is the constraint? 2. Which model should Healthy Time produce? (Hint: Use the allocation of fixed manufacturing overhead to determine the proportion of machine hours used by each product.) 3. If Healthy Time should produce both models, compute the mix that will maximize operating income. Print Done

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