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Exercise 1 3 - 5 ( Algo ) Volume Trade - Off Decisions [ L 0 1 3 - 5 ] Outdoor Luggage, Incorporated, makes

Exercise 13-5(Algo) Volume Trade-Off Decisions [L013-5]
Outdoor Luggage, Incorporated, makes high-end hard-sided luggage for sports equipment. Data concerning three of the
company's most popular models appear below:
Required:
If the total time available on the plastic injection molding machine is the constraint, how much contribution margin per minute of
the constrained resource is earned by each product?
Which product offers the most profitable use of the plastic injection molding machine?
If a severe shortage of plastic pellets required the company to cut back production so much that its new constraint has become
the total available pounds of plastic pellets, how much contribution margin per pound of the constrained resource is earned by
each product?
Which product offers the most profitable use of the plastic pellets?
Which product has the largest contribution margin per unit?
Complete this question by entering your answers in the tabs below.
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