Each morning, Murry Smith stocks the drink case at Murry's Beach Hut in Daytona Beach, Florida. Murry's Beach Hut has 120 linear feet of refrigerated display space for cold drinks. Each linear foot can hold either five 12-ounces cans or three 20-ounces plastic or glass bottles.

The beverage stand sells three types of cold drinks:

1. Cola-Cola in 12-oz. cans for $1.60 per can

2. Energy Drink Drink in 20-oz. plastic bottles for $1.65 per bottle

3. Orange Soda in 20-oz. glass bottles for $2.30 per bottle

Murry's Beach Hut pays its suppliers the following:

1. $0.25 per 12-oz. can of cola-cola

2. $0.45per 20-oz. bottle of energy drink

3. $0.75 per 20-oz. bottle of orange soda

Murry's Beach Hut monthly fixed expenses include the following:

Hut rental	$365
Refrigerator rental	60
Murry's salary	1,750
Total fixed expenses	$2,175

The beverage stand can sell all drinks stocked in the display case each morning.

Requirements

1. What is the constraining factor at Murry's Beach Hut? What should Murry 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 Murry refuses to devote more than 75 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 sales each day?

3. Assuming the product miscalculated in requirement 2, what contribution margin will be generated from refrigerated drinks each day?