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Maurizio Inc. manufactures exotic Anchovy Pizza and Eggplant Pizzas. Each product requires careful attention in the wood burning pizza oven in the Baking Department. Total
Maurizio Inc. manufactures exotic Anchovy Pizza and Eggplant Pizzas. Each product requires careful attention in the wood burning pizza oven in the Baking Department. Total hours available for the Baking Department for both products is 140 hours. There are no other constraints in the production process. The following information is available for both products: Anchovy Eggplant Contribution margin per unit $18 $12 Time required to bake one unit (hours) 0.20 hours 0.10 hours What is the contribution margin per hour of Baking Department time for the Anchovy Pizza? A What is the contribution margin per hour of Baking Department time for the Eggplant Pizza? A Determine the optimal product mix. Given your calculations, how many units of Anchovy Pizza should the company produce? A Given your calculations, how many units of Eggplant Pizza should the company produce? A/ What is the total contribution margin earned for the optimal product mix? A
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