Each morning, Mike McKnight stocks the drink case at Mike's Beach Hut in Charlotte, North Carolina. Mike's Beach Hut has 115 linear feet of refrigerated display space for cold drinks. Each linear foot can hold either six 12-ounce cans or four 20-ounce plastic or glass bottles. (Click the icon to view the information on the cold drinks.) The beverage stand can sell all drinks stocked in the display case each morning. Read the requirements. Requirement 1. What is the constraining factor at Mike's Beach Hut? What should Mike stock to maximize profits? What is the maximum contribution margin he could generate from refrigerated drinks each day? The constraining factor is linear feet of shelf space Mike's should stock the drink with the highest contribution margin. Complete the product mix analysis to determine which product would maximize Mike's profits. Mike's Beach Hut Product Mix Analysis cola-cola 12 oz. Cans energy drink 20 oz. Bottles orange juice 20 oz. Bottles A Data Table 0 Requirements The beverage stand sells three types of cold drinks: 1. Cola - Cola in 12-oz. cans for $1.60 per can 2. Energy Drink in 20-oz. plastic bottles for $1.80 per bottle 3. Orange juice in 20-oz. glass bottles for $2.25 per bottle Mike's Beach Hut pays its suppliers the following: 1. $0.20 per 12-oz. can of cola-cola 2. $0.45 per 20-oz. bottle of energy drink 3. $0.75 per 20-oz. bottle of orange juice Mike's Beach Hut's monthly fixed expenses include the following: ....$ Hut rental Refrigerator rental 365 65 1,750 1. What is the constraining factor at Mike's Beach Hut? What should Mike stock to maximize profits? What is the maximum contribution margin he could generate from refrigerated drinks each day? 2. To provide variety to customers, suppose Mike refuses to devote more than 65 linear feet and no less than 15 linear feet to any individual product. Under this condition, how many linear feet of each drink should be stocked? How many units of each product will be available for sale each day? 3. Assuming the product mix calculated in Requirement 2, what contribution margin will be generated from refrigerated drinks each day? Mike's salary. $ 2,180 Total fixed expenses