Required: 1. Assume the company focuses solely on producing 5500 a. Which department would be the constraint? (Hint Focus on each department's capacity (in hours) divided by S500's hours per unit within each department.) b. What is $500's contribution margin per hour of the constraining resource that you identified in requirement 1a? (Hint Calculate S500's contribution margin per unit and divide it by the "hours per unit for the department you identified in requirement 1a.) 2. Assume the company focuses solely on producing 1750 a. Which department would be its constraint? Hint Focus on each department's capacity (in hours) diided by T750's "hours per unit within each department.) b. What is T750's contribution margin per hour of the constraining resource that you identified in requirement 2a? (Hint: Calculate T750's contribution margin per unit and divide it by the "hours per unit for the department you identified in requtrement 2a.) 3. Based on the answers to requirements 1 and 2: a. Which product has the highest contribution margin per hour of its constraining resource? b. If the company decided to initiate production by maximizing the output of the product chosen in requirement 3a, then how many units of this product would it be able to make before encountering that product's constraint? c. If the company implemented the production plan in requirement 3b. then how many units of its remaining product could It make with the departmental capacities that are still available? d. What total contribution margin would the company earn If It followed the production plan described in requirements 36 and 3C? Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Raq 3a Red 3b to d 1. Assume the company focuses solely on producing 5500: Reg 1 Reg 2 Reg 3a Reg 3b to d 1. Assume the company focuses solely on producing S500: a. Which department would be the constraint? (Hint: Focus on each department's capacity (in hours) divided by S500's "hours per unit within each department.) b. What is S500's contribution margin per hour of the constraining resource that you identified in requirement la? (Hint: Calculate $500's contribution margin per unit and divide it by the "hours per unit" for the department you identified in requirement 1a.) Show less The constraining department is Product S500's contribution margin per hour is Reg 1 Reg 2 Req 3a Reg 3b to d 2. Assume the company focuses solely on producing T7501 a. Which department would be its constraint? (Hinti Focus on each department's capacity (in hours) divided by T750's "hours per unit within each department.) b. What is T750's contribution margin per hour of the constraining resource that you identified in requirement 2a? (Hinti Calculate T750's contribution margin per unit and divide it by the hours per unit for the department you identified in requirement 2a.) Show less The constraining department is Product T750's contribution margin per hour is Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Reg 3a Reg 3b to d 3. Based on the answers to requirements 1 and 21 a. Which product has the highest contribution margin per hour of its constraining resource? The product with the highest contribution margin per hour of its constraining resource is Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Req 3a Req 3b to d 3. Based on the answers to requirements 1 and 2: b. If the company decided to initiate production ay maximizing the output of the product chosen in requirement 3a, then how many units of this product would it be able to make before encountering that product's constraint? c. If the company implemented the production plan in requirement 3b, then how many units of its remaining product could it make with the departmental capacities that are still available? d. What total contribution margin would the company earn if it followed the production plan described in requirements 3b and 3c Show less units The maximum output is The maximum output is The total contribution margin is units Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Req 3a Req 3b to d 3. Based on the answers to requirements 1 and 2: b. If the company decided to initiate production ay maximizing the output of the product chosen in requirement 3a, then how many units of this product would it be able to make before encountering that product's constraint? c. If the company implemented the production plan in requirement 3b, then how many units of its remaining product could it make with the departmental capacities that are still available? d. What total contribution margin would the company earn if it followed the production plan described in requirements 3b and 3c Show less units The maximum output is The maximum output is The total contribution margin is units
