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Objective 3 Deluxe $1,680 P10-24A Making product mix decisions Brill, located in Port St. Lucie, Florida, produces two lines of electric tool deluxe and standard.
Objective 3 Deluxe $1,680 P10-24A Making product mix decisions Brill, located in Port St. Lucie, Florida, produces two lines of electric tool deluxe and standard. Because Brill can sell all the toothbrushes it can produce owners are expanding the plant. They are deciding which product line to empha To make this decision, they assemble the following data: Per Unit Deluxe Toothbrush $ 80 20 $60 Standard Toothbrush $ 52 15 Sales price Variable costs Contribution margin 537 Contribution margin ratio 75.0% 71.2% After expansion, the factory will have a production capacity of 5,000 machine hours per month. The plant can manufacture either 58 standard electric toothbrushes or 28 deluxe electric toothbrushes per machine hour. Requirements 1. Identify the constraining factor for Brill. 2. Prepare an analysis to show which product line to emphasize
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