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Question 3 Sheridan Innovations, Inc. produces exercise and fitness gear. Two of its newer products require a finishing process that can only be completed on
Question 3 Sheridan Innovations, Inc. produces exercise and fitness gear. Two of its newer products require a finishing process that can only be completed on machines that were recently purchased for this purpose. The machines have a maximum capacity of 6,000 machine hours, and no other products that the company makes use these machines. Sarah Jacob, the company's operations manager, is preparing the production schedule for the coming month and can't seem to find enough machine time to produce enough units to meet the customer demand that the marketing department has indluded in the sales budget. Michael Stoner, the company's controller, has gathered the following information about the two products: Dumbbell Weight Rack $49 19 Bench $59 14 Selling price per unit Direct materials Direct labor Variable overhead Fixed overnead Profit per unit Unit sales demand Machine hours per unit $18 4,000 0.5 10 $21 7,000 0.8
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