Foam Works sells refill foam darts for Nerf blasters in two sizes: small and large. The small
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Question:
- Foam Works sells refill foam darts for Nerf blasters in two sizes: small and large. The small darts require 2 ounces of foam per pack and the large darts take 5 ounces per pack. The small darts have a contribution margin of $2 per pack and the large darts have a contribution margin of $3.50 per pack. If Foam Works can only get 100 ounces of foam this period and they have demand for 40 packs of small darts and 15 packs of large darts, how will Foam Works maximize profits?A.Meet demand for the large darts first since they have a higher contribution margin. Produce smaller darts with whatever is left.
- B.Meet demand for the smaller darts first because they have a higher contribution margin per ounce.
- C.Complete the order for the large darts first because it is the smaller order and can be completed faster.
- D.Divide the 100 ounces equally between the two types of darts to satisfy some of each customer.
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