Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Outdoor Luggage, Incorporated, makes high-end hard-sided luggage for sports equipment. Data concerning three of the company's most popular models appear below. Selling price per
Outdoor Luggage, Incorporated, makes high-end hard-sided luggage for sports equipment. Data concerning three of the company's most popular models appear below. Selling price per unit Ski Guard $ 230 Variable cost per unit $ 90 Golf Guard $ 330 $ 150 Plastic injection molding machine processing time required to produce one unit 4 minutes 10 minutes Pounds of plastic pellets per unit 5 pounds 11 pounds Required: Fishing Guard $ 265 $ 105 5 minutes 12 pounds 1. If we assume that the total time available on the plastic injection molding machine is the constraint in the production process, how much contribution margin per minute of the constrained resource is earned by each product? 2. Which product offers the most profitable use of the plastic Injection molding machine? 3. If we assume that a severe shortage of plastic pellets has required the company to cut back its production so much that its new constraint has become the total available pounds of plastic pellets, how much contribution margin per pound of the constrained resource is earned by each product? 4. Which product offers the most profitable use of the plastic pellets? 5. Which product has the largest contribution margin per unit? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 If we assume that the total time available on the plastic injection molding machine is the constraint in the production process, how much contribution margin per minute of the constrained resource is earned by each product? Note: Round your final answers to 2 decimal places. Ski Guard Contribution margin per minute of the constrained resource per minute Outdoor Luggage, Incorporated, makes high-end hard-sided luggage for sports equipment. Data concerning three of the company's most popular models appear below. Selling price per unit Ski Guard $ 230 Variable cost per unit $ 90 Golf Guard $ 330 $ 150 Plastic injection molding machine processing time required to produce one unit Pounds of plastic pellets per unit 4 minutes 5 pounds 11 pounds 10 minutes Required: Fishing Guard $ 265 $ 105 5 minutes 12 pounds 1. If we assume that the total time available on the plastic injection molding machine is the constraint in the production process, how much contribution margin per minute of the constrained resource is earned by each product? 2. Which product offers the most profitable use of the plastic injection molding machine? 3. If we assume that a severe shortage of plastic pellets has required the company to cut back its production so much that its new constraint has become the total available pounds of plastic pellets, how much contribution margin per pound of the constrained resource is earned by each product? 4. Which product offers the most profitable use of the plastic pellets? 5. Which product has the largest contribution margin per unit? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Which product offers the most profitable use of the plastic injection molding machine? Product offers the most profitable use of the plastic injection molding machine is < Required 1 Required 3 > Outdoor Luggage, Incorporated, makes high-end hard-sided luggage for sports equipment. Data concerning three of the company's most popular models appear below. Selling price per unit Ski Guard $ 230 Golf Guard Variable cost per unit $ 90 $ 330 $ 150 Plastic injection molding machine processing time required to produce one unit 4 minutes 10 minutes Pounds of plastic pellets per unit 5 pounds '11 pounds Required: Fishing Guard $ 265 $ 105 5 minutes 12 pounds 1. If we assume that the total time available on the plastic injection molding machine is the constraint in the production process, how much contribution margin per minute of the constrained resource is earned by each product? 2. Which product offers the most profitable use of the plastic injection molding machine? 3. If we assume that a severe shortage of plastic pellets has required the company to cut back its production so much that its new constraint has become the total available pounds of plastic pellets, how much contribution margin per pound of the constrained resource is earned by each product? 4. Which product offers the most profitable use of the plastic pellets? 5. Which product has the largest contribution margin per unit? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 If we assume that a severe shortage of plastic pellets has required the company to cut back its production so much that its new constraint has become the total available pounds of plastic pellets, how much contribution margin per pound of the constrained resource is earned by each product? Note: Round your final answers to 2 decimal places. Contribution margin per pound of the constrained resource Ski Guard per pound Golf Guard per pound Fishing Guard per pound < Required 2 Required 4 > Show lessA Outdoor Luggage, Incorporated, makes high-end hard-sided luggage for sports equipment. Data concerning three of the company's most popular models appear below. Selling price per unit Ski Guard $ 230 Variable cost per unit $ 90 Golf Guard $ 330 $ 150 Plastic injection molding machine processing time required to produce one unit 4 minutes 10 minutes Pounds of plastic pellets per unit 5 pounds 11 pounds Required: Fishing Guard $ 265 $ 105 5 minutes 12 pounds 1. If we assume that the total time available on the plastic injection molding machine is the constraint in the production process, how much contribution margin per minute of the constrained resource is earned by each product? 2. Which product offers the most profitable use of the plastic injection molding machine? 3. If we assume that a severe shortage of plastic pellets has required the company to cut back its production so much that its new constraint has become the total available pounds of plastic pellets, how much contribution margin per pound of the constrained resource is earned by each product? 4. Which product offers the most profitable use of the plastic pellets? 5. Which product has the largest contribution margin per unit? Complete this question by entering your answers in the tabs below. S Required 1 Required 2 Required 3 Required 4 Required 5 Which product offers the most profitable use of the plastic pellets? Product offers the most profitable use of the plastic pellets is < Required 3 Required 5 > Outdoor Luggage, Incorporated, makes high-end hard-sided luggage for sports equipment. Data concerning three of the company's most popular models appear below. Ski Guard Selling price per unit $ 230 Variable cost per unit $ 90 Golf Guard $ 330 $ 150 Plastic injection molding machine processing time required to produce one unit 4 minutes 10 minutes Pounds of plastic pellets per unit 5 pounds 11 pounds Required: Fishing Guard $ 265 $ 105 5 minutes 12 pounds 1. If we assume that the total time available on the plastic injection molding machine is the constraint in the production process, how much contribution margin per minute of the constrained resource is earned by each product? 2. Which product offers the most profitable use of the plastic injection molding machine? 3. If we assume that a severe shortage of plastic pellets has required the company to cut back its production so much that its new constraint has become the total available pounds of plastic pellets, how much contribution margin per pound of the constrained resource is earned by each product? 4. Which product offers the most profitable use of the plastic pellets? 5. Which product has the largest contribution margin per unit? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Which product has the largest contribution margin per unit? Product has the largest contribution margin per unit is < Required 4 Required 5 >
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started