Question 3 options:

Entry and Rounding Rules:

Round your answer to the nearest DOLLAR.

Do not enter $ or , when inputting dollar amounts.

If you are asked to input a word be sure to spell it exactly as provided.

For units round up to the next whole unit.

QUESTION:

Aliyah Limited manufactures 2 types of soccer instruction manuals for new players, a Junior Soccer manual and a Senior Soccer manual. Each manual must go through a binding process in the Binding Department.

Total hours available for the Binding Department for both products is 800 hours.

There are no other constraints in the production process.

The following information is available for both products:

	Junior	Senior
Contribution margin per unit	$6	$4
Time required to bind one unit (hours)	0.10 hours	0.05 hours

Using the above information answer the following questions.

What is the contribution margin per hour of Binding Department time for the Junior Soccer manual?

What is the contribution margin per hour of Binding Department time for the Senior Soccer manual?

Determine the optimal product mix.

Given your calculations, how many units of Junior Soccer manual should the company produce?

Given your calculations, how many units of Senior Soccer manual should the company produce?

What is the total contribution margin earned for the optimal product mix?