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please help explain questions 1,2 and 3 for the cavendish Cheese Company Cavendish Cheese Company makes three products their single facilfg. Data concerning these products
please help explain questions 1,2 and 3 for the cavendish Cheese Company
Cavendish Cheese Company makes three products their single facilfg. Data concerning these products follow: Ilin price per unit irect materials irect labour ariable manufacturing overhead ariable selling cost per unit minutes per unit onthlv demand in units 67_90 12.10 14.10 2.60 2.50 _ 70 ,ooo Products 3 57.7 10.30 8.00 2.20 2.20 3. 1.80 2.50 The mixing machines are potentially a constraint in the production facility. A total Of 25,800 minutes are available per month on these machines. Direct labour is a variable cost in this company. Required: I) 2) 3) How many minutes Of mixing machine time would be required to satisfy demand for all three products? How much of each product should be produced, rounded to the nearest whole unit, to marinize operating income ? Up to how much should the company be willing to pay, rounded to the nearest whole cent, for one additional minute of mixing machine tirne if the company has made the best use of the existing mixing machine capacity?
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