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Each morning, Larry Smith stocks the drink case at Larry's Beach Hut in Myrtle Beach, South Carolina. The drink case has 105 linear feet of
Each morning, Larry Smith stocks the drink case at Larry's Beach Hut in Myrtle Beach, South Carolina. The drink case has 105 linear feet of refrigerated drink space. Each linear foot can hold either seven 12-ounce cans or three 20-ounce bottles (Click the icon to view the information on the cold drinks.) X Data Table Larry's Beech Hut can sell Ithe drinks stocked in the display case each morning Read the reguirements Requirement 1. What is Larry's Beach Huts constraining factor? What should Larry stock to maximize protits? Larry's Beach Hut sells three types of cold drinks. . Right Cola in 12-oz. cans for $1.40 per can The constraining factor is . Right-Cola in 20-0z bottles tor $1 7D per bottle per bottle What should Larry stock to maximize profits? Larry's Beach Hul pays its suppliers . S0.15 per 12 oz. can of Right-Cola Complete the product mix analysis to determine which product would maximize Larry's profits . S0 30 per 20-0z bottle of Right- Cola Right-Cola Right-Cola Best-Cola sp ao per 20-0z bottle of Best - Cola Larry's Beach Hul's monthly fixed costs include 12 oz. Cans 20 oz. Bottles 20 oz. Bottles Hut rental Sales price per unit 340 Refrigerator rental 60 Variable cost per unit 450 Contribution margin per unit Larry's salary 1.850 Units per linear foot of shelf space Total fixed costs Contribution margin per linear toot of shelt space Print Done Decision. Stock Requirement 2. Sup day? (Abbreviation used. CM contribution margin.) e Larry's Beach Hut refuses to devote more than 75 linear feet to any individual product. Under this condition, how many linear feet of each drink should Larry's stock? How many units of each product will be available for sale each Larry's Beach Hut should stock shelves as follows linear feet with the product that has the CM per linear foot- First stock linear fuet with the product that has the CM per linuat fool- Next stock " in the appropriete cell.) How many units of each product will be available for sale each day based on the product mixed determined in the preceding step? (For entries with a S0 balance, make sure enter Units tor sale Right-Cola in 12 07 cans cans hottles Right-Cola in 20 oz hottles 20 oz. bottles bottles Best-Cola
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