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Deluxe and Standard. Because Britt B r i t t can sell all the toothbrushes it ? produces, the owners are expanding the plant. They
Deluxe and Standard. Because
BrittBritt
can sell all the toothbrushes it? produces, the owners are expanding the plant. They are deciding which product line to emphasize. To make this?decision, they assemble the following? data: LOADING...
?(Click After? expansion, the factory will have a production capacity of
4 comma 8004,800
machine hours per month. The plant can manufacture either 5858
Standard electric toothbrushes or 2828
Deluxe electric toothbrushes per machine hour. Requirements
1. | Identify the constraining factor for BrittBritt Products. |
2. | Prepare an analysis to show which product line to emphasize. |
Requirement 1. Identify the constraining factor for
BrittBritt.
BrittBritt?'s
constraint is ?
direct materials
labor hours
machine hours
Requirement 2. Prepare an analysis to show which product line to emphasize.
??
Britt Products | |||
Product Mix Analysis | |||
| | Deluxe | Standard |
| | | |
| | | |
| | | |
| | | |
| | | |
?Decision:
?
Emphasize the Britt Standard electric toohbrushes.
Emphasize the Britt Deluxe electric toohbrushes.
Choose from any list or enter any number in the input fields and then continue to the next question.
Per Unit
Deluxe
Standard
Toothbrush
Toothbrush
Sales price. . . . . . . . . . . . . . . . . . . .
$86
$45
Variable expenses. . . . . . . . . . . . . . .
20
18
Contribution margin. . . . . . . . . . . . . .
$66
$27
Contribution margin ratio. . . . . . . . . .
76.7%
60%
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