On the Data Tables $-$ Student tab in your Excel spreadsheet, update the given information section of the Income Statement for Hello Company with the data below:

Income Statement Product A Product B Product C Max Capacity

Units $31,0004,0002,00037,000$

Price per unit $ $10\mathrm{.}00$ $ $6\mathrm{.}00$ $ $50\mathrm{.}00$

Variable expense per unit $ $4\mathrm{.}00$ $ $1\mathrm{.}00$ $ $15\mathrm{.}00$

Total Fixed Costs $ $15,000$ $ $30,000$ $ $7,500$

Required:

$2.$ Using the Data Table What$-$If Analysis tool in Excel, determine the Units and Operating Income $($Loss$)$ for each product based on the following scenarios. $($Hint: Don't forget that the warehouse can only hold up to $37,000$ units.$)$

Scenario $1$: Pete wants to find the mix of units that will result in the highest overall Operating Income, perform this analysis using a two variable data table. Product A can vary between $28,000$ units and a maximum of $33,000$ units. Product B can vary between $2,000$ units and a maximum of $7,000$ units. Both Products A and B are manufactured in $1,000-$unit increments. The production level of Product C is the same each month at $2,000$ units.

Scenario $2$: Pete wants each product line in the mix to be profitable. Use a One Variable Data Table and then determine the number of units for each product that should be produced $($to the nearest thousand$)$ to make each product line profitable.

$3.$ Based on your calculations above, which scenario creates the highest overall Operating Income for the company?

multiple choice

Scenario $1$ Correct

Scenario $2$