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Outdoor Luggage Inc. makes high - end, hard - sided luggage for sports equipment. Data concerning three of the company s most popular models appear

Outdoor Luggage Inc. makes high-end, hard-sided luggage for sports equipment. Data concerning three of the companys most popular models appear below.
Ski
Guard Golf
Guard Fishing
Guard
Selling price per unit $ 260 $ 330 $ 205
Variable cost per unit $ 120 $ 180 $ 135
Plastic injection moulding machine
processing time required per unit 9 min 12 min 11 min
Kgs of plastic pellets per unit 12 kg 7 kg 11 kg
Required:
1-a. The total time available on the plastic injection moulding machine is the constraint in the production process. What is the contribution margin per unit of the constrained resources for Ski Guard, Golf Guard and Fishing Guard?
1-b. Which product would be the most profitable use of this constraint?
multiple choice 1
Ski Guard
Fishing Guard
Golf Guard
1-c. Which product would be the least profitable use of this constraint?
multiple choice 2
Ski Guard
Fishing Guard
Golf Guard
2-a. A severe shortage of plastic pellets has required the company to cut back its production so much that the plastic injection moulding machine is no longer the bottleneck. Instead, the constraint is the total available kilograms of plastic pellets. What is the contribution margin per unit of the constrained resources for Ski Guard, Golf Guard and Fishing Guard?
2-b. Which product would be the most profitable use of this constraint?
multiple choice 3
Golf Guard
Fishing Guard
Ski Guard
2-c. Which product would be the least profitable use of this constraint?
multiple choice 4
Golf Guard
Fishing Guard
Ski Guard
3. Which product has the largest unit contribution margin?
multiple choice 5
Golf Guard
Fishing Guard
Ski Guard

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