Exer Light produce two types of exercise tramite regular and daue. The exercise craze is such that Exer tight could use all its available machine hours to produce the model The two modes we processed through the sa production departments Data for both models are as folow Click the icon to view the data Read the rest Requirement 1. What is the const? Exer Lights contratti - X Requirement 2. Whic model should Exer Light pedeset Use the allocation of freed manufacturing verted to determine the proportion of machine housed by the product Exer Light should produce the product with the Data Table Now prepare the product is by ating with the contributin mergi per Die Red Per Unit th Sram Dee pricepunt Regular Sales Price $ 990 Valable content 550 C Con margin Die materials Next to the point machine hors De 22 Inila Variable moucturing over 96 Proportion and Del Trade Fixed manufacturing overhead 12 111 65 Regulamin Valabile operating Up 185 Finally at the contro per machine hour Totalt 5 NOSS Die Regular Operating in be located on the basis of machines that can be reduced wach machine Cabution Print Dono Elsa pema Requirement 3. If Exer Light should produce both models, compute the mix that will maximize operating income. Exer Light should produce because Exer Light produces two types of exercise treadmills: regular and deluxe. The exercise craze is such that Exer production departments. Data for both models are as follows: Click the icon to view the data.) Read the requirements Requirement 1. What is the constraint? Exer Light's constraint is Requirement 2. Which model should Exer Light produce? (Hint: Use the allocation of fixed manufacturing overh Exer Light should produce the product with the Now prepare the product mix analysis by starting with the contribution margin per unit. Deluxe Regular treadmill treadmill Sale price per unit Variable costs per unit Contribution margin per unit Next, calculate the proportion of machine hours used Fixed overhead Total overhead Deluxe Treadmill Regular Treadmill Finally, calculate the contribution margin per machine hour Proportion of machine hours used % % Deluxe treadmill Regular treadmill Units that can be produced each machine hour Contribution margin per machine hour Enter any number in the edit fields and then continue to the next question Requirement 3. If Exer Light should produce both models, compute the mix that will maximize operating income Exer Light should produce because Enter any number in the edit Melds and then continue to the next question Data Table Per Unit Deluxe Regular 550 Sales Price $ GA 990 $ Costs: Direct materials 320 110 76 186 Direct labor Variable manufacturing overhead Fixed manufacturing overhead* 282 94 96 32 111 65 Variable operating expenses 885 487 Total costs $ 105 $ 63 Operating income *allocated on the basis of machine hours Light process car and The care such that there the machine tours to produce the model. The two wodne processed the same dation departments Data for both modules Click the icon with Bead the
