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Please answer question 3, thank you Question 3 SafetyBox Lid produced three products, P, C, and R. The management team of Safety Box Lid is
Please answer question 3, thank you
Question 3 SafetyBox Lid produced three products, "P", "C", and "R". The management team of Safety Box Lid is provided with the following information. Product P R Units Units Units Weekly sales demand (units) 2.500 3.000 2.000 Selling price (El unit) Material costs unit) Direct labour costs Elunit) E 13 4 4 E 10 2 2 E 15 9 4 Total weekly conversion costs, including direct labour costs, are 41,000. P Minutes 20 6 Product Minutes 10 5 R Minutes 20 8 Labour time (minutes unit) Machine time minutes unit) The factory supervisor has identified "machine time as the bottleneck The maximum capacity of weekly machine production time is 550 hours. (Round up to two decimals in your calculation it required) Required: a) Calculate the throughput per machine minute for products "P". "C", and "R". You are required to show al workings. (7 marks) b) Assuming that the machine time bottleneck is fully utilised, calculate the quantities of each product that should be produced and sold to maximise the company's profit. and calculate the weekly profit. You are required to show all workings. (15 marks) c) At the profit-maximising level of production output and sales, calculate i) Throughput per machine hour ii) Operating cost per machine hour iii) Throughput Accounting Ratio (TPAR) You are required to show all workings. (8 marks) d) Critically discuss the criticisms of traditional budgeting made by The Beyond Budgeting Round Table (BBRT) evidence of independent research and relevant examples are encouraged to support your response. Word count no more than 1,000 words. (20 marks)Step by Step Solution
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