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ID: A . Red Rock Enterprises is analyzing its sales mix to find out if it is maximizing its profits. The company produces three similar
ID: A . Red Rock Enterprises is analyzing its sales mix to find out if it is maximizing its profits. The company produces three similar items: Alpha, Beta, and Gamma. All three of these products are made with the sarne cquipment, and maximum productive capacity measured in machine hours is now being used. Prodici ine statistics are as follows Alpha 105,000 10 $63.00 $33.00 Gamma 93,000 13 $84.00 $49.00 $19.00 Beta 158,000 Current production and sales (units) Machine hours per unit Selling price per unit Unit variable cost Unit variable selling cost $48.00 $26.00 $16.00 20.00 Part I Determine whether the existing sales mix is the most profitable onc possible. If your answer is no, offer your suggestion to improve the sales mix. Round answers to two decimal places. Based on your optimal sales mix from part 1 and a maximum of 2,900,000 machines hours available, indicate the number of units of Alpha, Beta, and Gamma to be produced. Part 2
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