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Please help with Excel formula and explanation Barlow Company manufactures three productsA, l3, and C. The selling price, variable costs, and contribution margin for one

Please help with Excel formula and explanation

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Barlow Company manufactures three productsA, l3, and C. The selling price, variable costs, and contribution margin for one unit of each product follow: Product A B C Selling price $ 150 5 240 $ 280 Variable expenses: Direct materials 12 48 18 Other variable expenses 188 126 146 Total variable expenses 12% 158 158 Contribution margin $ 30 $ ?2 $ 42 26% 3855 21% Contribution margin ratio The same raw material is used in all three products. Barlow Company has only 5,400 pounds of raw material on hand and will not be able to obtain any more of it for several weeks due to a strike in its supplier's plant. Management is trying to decide which productis) to concentrate on next week in filling its backlog oforders. The material costs $6 per pound. Req u ired: 1. Calculate the contribution margin per pound ofthe constraining resource for each product. 2. Assuming that Barlow has unlimited demand for each of its three products, what is the maximum contribution margin the company can earn when using the 5,400 pounds of raw material on hand? 3. Assuming that Barlow's estimated customer demand is 600 units per product line. what is the maximum contribution margin the company can earn when using the 5,400 pounds of raw material on hand? 4. A foreign supplier could furnish Barlow with additional stocks ofthe raw material at a substantial premium over the usual price. Assuming Barlow's estimated customer demand is 600 units per product line and that the company has used its 5,400 pounds of raw material in an optimal fashion, what is the highest price Barlow Company should be willing to pay for an additional pound of materials? Required 1 Required 2 Required 3 Required 4 Calculate the contribution margin per pound of the constraining resource for each product. A B C Contribution margin per pound of the constrained resource $ 15 $ 9 $ 14Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Assuming that Barlow has unlimited demand for each of its three products, what is the maximum contribution margin the company can earn when using the 5,400 pounds of raw material on hand? Maximum contribution margin $ 81,000Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Assuming that Barlow's estimated customer demand is 600 units per product line, what is the maximum contribution margin the company can earn when using the 5,400 pounds of raw material on hand? Maximum contribution margin $ 64,800Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 A foreign supplier could fumish Barlow with additional stocks of the raw material at a substantial premium over the usual price. Assuming Barlow's estimated customer demand is 600 units per product line and that the company has used its 5,400 pounds of raw material in an optimal fashion, what is the highest price Barlow Company should be willing to pay for an additional pound of materials? Show less; 55 15

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