Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Green Company makes three products in a single facility. Data concerning these products follow: Products A B C $61.30 $64.80 $48.70 $12.90 $12.40 $7.90 $14.20
Green Company makes three products in a single facility. Data concerning these products follow: Products A B C $61.30 $64.80 $48.70 $12.90 $12.40 $7.90 $14.20 $7.70 $6.90 $2.70 $3.15 $1.75 Selling price per unit Direct materials Direct labour Variable manufacturing overhead Variable selling cost per unit Mixing minutes per unit Direct materials in KG per unit Monthly demand in units $2.60 $2.65 $2.55 5.70 6.35 7.80 4.80 7.25 7.75 1,000 2,000 3,000 The mixing machines and direct materials used are potentially constraints in the production facility. A total of 26,800 minutes are available per month on these machines. Direct labour is a variable cost in this company. Total direct materials available are 40,000 kg. Required: 1.) In what order should Green Company produce its products if mixing minutes per unit are the only production constraint? (6 points) 2.) In what order should Green Company produce its products if direct materials used are the only production constraint? (6 points)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started