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please solve all requirments Exercise 11.5 (Algo) Volume Trade-Off Decisions (LO11-5) $ 130 Outdoor Luggage, Incorporated, makes high-end hard-sided luggage for sports equipment. Data concerning
please solve all requirments
Exercise 11.5 (Algo) Volume Trade-Off Decisions (LO11-5) $ 130 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 Golf Guard Fishing Guard Selling price per unit $ 320 $ 320 5 275 Variable cost per unit $ 110 $95 Plastic injection molding machine processing time required to produce one unit 13 minutes 10 minutes 2 minutes Pounds of plastic pellets per unit 12 pounds 7 pounds 14 pounds Required: 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 hastequired 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: Required 2 Required 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 the constrained resource is earned by each product? (Round your final answers to 2 decimal places) Si Guard Geil Guard Fishing Guard Contribution margin per minute of the constrained resource per minute per minute per me Step by Step Solution
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