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Einstein Medallions manufactures medals made of rare and precious metals. The Platinum product line is the sole product line manufactured at the company s Yokine

Einstein Medallions manufactures medals made of rare and precious metals. The Platinum product line is the sole product line manufactured at the companys Yokine minting facility and the line comprises three different medals: TY1, TY2 and TY3. Currently the production of these three medals readily meets world demand for the Platinum medals product line. Relevant price and cost data are provided below:
Details TY1 TY2 TY3 Totals
Budgeted sales in units 8004803201,600
Budgeted selling price per unit $400 $550 $600
Budgeted Variable costs
Manufacturing Labour ($10.00 per hour)($80)($120)($105)
Manufacturing Raw materials ($35 per
unit)($70)($140)($140)
Other manufacturing overhead ($50)($40)($70)
Non-manufacturing ($40)($50)($60)
Budgeted total fixed costs
Manufacturing
($550,000)
Non-manufacturing
($190,000)
As noted, Einstein Medallions has sufficient production capacity to meet the total annual demand of 1,600 units.
You are required to calculate the following:
1. The unit contribution margins for each of the three medal models.
2. The net profit at the budgeted production level.
3. The contribution margins per labour hour and per unit of raw materials for each of the three medal models.
4. The sales mix percentages for each of the three products (e.g., TY1=800/1600=50%)
5. The budgeted weighted average contribution margin per unit for the Platinum medal product line, based on the sales mix and unit contribution margins (sum of unit contribution margins multiplied by sales percentages).
6. The budgeted break-even point in units for the Platinum medal product line and for each individual product line.
7. The budgeted margin of safety in total units for the Platinum medal production line.
8. The production ranking to maximize profit if labour hours are limited.
9. The production ranking to maximize profit if raw material units are limited.
10. Comments on your calculations.

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