Question : (product mix) Bravo supermarket sells three types of drinks (Cola, Choco, lemonade) and it is deciding how much refrigerator space to devote to each type. The following are data related to the three types:

	Cola	Lemonade	Choco
Selling price per case	$26.90	$20.75	$18.80
Variable cost per case	$20.10	$16.25	$13.80
Foots per case	.042 foot	.083 foot	.143 foot

Bravo has a maximum front shelf space of 12 foots to devote for the three drinks. It wants a minimum of 1 foot and a maximum of 6 feet of front shelf space for each drink.

Required:

1. Calculate contribution margin per case of cola
2. Calculate contribution margin per foot of Cola
3. Calculate contribution margin per foot of Lemonade
4. Calculate contribution margin per foot of Choco
5. Which is the worst product, why ?
6. Determine the product mix (Cola: Lemonade: Choco) round up your answers to the nearest integer
7. Based on your product mix decision, how many feet were dedicated to Cola drink