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If you could also show how you got the answers that would be great. Thanks !! 1. Scarce Resource Constraint Crest information Technologies manufactures three

If you could also show how you got the answers that would be great. Thanks !! image text in transcribed
1. Scarce Resource Constraint Crest information Technologies manufactures three sizes of copiers: Light, Medium, and Heavy. Demand for the three copiers is as follows: 200 units of Light, 240 units of Medium, and 200 units of Heavy. Crest has 12,000 machine hours available. Product information is provided below: Light Medium Heavy Selling Price per unit Variable Manufacturing Costs per unit Machine Hours per Unit $300 $180 20 $500 $1,000 $300 40 100 Fixed manufacturing costs total $60,000. REQUIRED: Determine how many units of each product should be produced and what the total contribution margin associated with your solution is. 2. Special Order Clearwater Company operates a wine outlet in a tourist area. One gallon bottles sell for $12 each. Variable manufacturing costs are $6 per gallon. Fixed costs total $3,000 per day. Regular demand has been 750 gallons per day. Clearwater has the capacigty to sell a maximum of 800 gallons per day REQUIRED: A. What is the total manufacturing cost per gallon? B. A bus loaded with 40 senior citizens stops by at closing time and the tour director offers to purchase 40 gallons for $7.50 per gallon. Clearwater, believing that they would incur a loss of $2.50 per gallon, refuses the special order. Should the special order of 40 gallons be accepted? Was Clearwater correct about losing $2.50 per gallion? Why or why not? Afund-raising organization has offered to make a one-time purchase of 300 gallons of wine from Clearwater for $7.50 per gallon. Should Clearwater accept the special order of 300 gallons? Why or why not? C. 3. Make or Buy Omark Corporation currently manufactures a sub-assembly for its main product. The manufacturing costs for the sub-assembly PER UNIT are as follows: Direct materials Direct labor Variable overhead Fixed overhead $2.00 0.00 10.00 16.00 $48.00 Total Reliance Corporation has contacted Omark with an offer to sell Omark the sub-assemblies for $44 each. $50,000 of total fixed overhead costs can be eliminated if the sub-assemblies are purchased from Reliance. Omark produces 5,000 sub-assemblies each period. Should Omark continue to make the sub-assemblies themselves or should they purchase the sub-assemblies from Reliance Corporation? Why

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