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I need requirement 1 please. THIS IS ALL THE INFORMATION PROVIDED Magnolia Company produces leather shoes in three models: Medina, Ballard, and Fremont. Currently, Magnolia
I need requirement 1 please. THIS IS ALL THE INFORMATION PROVIDED
Magnolia Company produces leather shoes in three models: Medina, Ballard, and Fremont. Currently, Magnolia is manufacturing 4,000 pairs of Medina, 6,000 pairs of Ballard, and 1,500 pairs offremont during the year, for a Total contribution margin of $2,242,500. Fixed overhead costs are $273,000 for Medina, $223,000 for Ballard, and $153,000 for Fremont during the year. However, some of the resources used in the manufacturing process are underutilized, leading the manager to believe that there could be alternate decisions or an alternative product mix for shoes that would increase the Total contribution margin. The Magnolia has the following manufacturine constraints: ALWAYS use cell references and formulas where appropriate to receive full cre dit. If you copy/paste f. ,n the instruction tab you will be marked wrong. Requirements Assume that Magnolia expects to produce and sell 4,000 pairs of Medina during the current year, One of Magnolia's sales representatives has found a new customer that is willing to buy 500 additional pairs for a price of $335 per pair. If they accept the customer's offer, it will decrease sales to regular customers by 200 pairs, Should theyaccept this special order? Show all work/calculations to justify your decision in the ENTERANSWERS1 tab. Assume that Magnolia expects to produce and sell 4,000 Magnolia has the following manufacturing constraints: Assume that Magnolia expects to produce and sell 4,000 pairs of Medina during the current year. One of Magnolia's sales representatives has found a new customer that is willing to buy 500 additional pairs for a price of $335 per pair. If they accept the customer's offer, it will decrease sales to regular customers by 200 pairs. Should they accept this special order? Show all work/calculations to justify your decision. Assume that Magnolia expects to produceand sell 4,000 units during the current quarter. A supplier has offered to manufacture and deliver 4,000 units for a price of $190 per unit, Should Magnolia accept this offer? How much will profit's increase or decrease? Show all work/calculations to justify your decision Step by Step Solution
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