Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Required information [The following information applies to the questions displayed below.] Conroy Company manufactures two productsB100 and A200. The company provided the following information with
Required information [The following information applies to the questions displayed below.] Conroy Company manufactures two productsB100 and A200. The company provided the following information with respect to these products: Estimated customer demand (in units) Selling price per unit Variable expenses per unit B100 2,800 $ 1,200 $ 700 A200 2,000 $2,100 $1,200 The company has four manufacturing departmentsFabrication, Molding, Machining, and Assemble & Pack. The capacity available in each department (in hours) and the demands that one unit of each of the company's products makes on those departments is as follows: B100 (hours per unit) A200 (hours per unit) Fabrication Molding Machining Assemble & Pack Capacity (in hours) 4,000 6,000 5,000 4,500 WON The company is trying to decide what product mix will maximize profits. Given that its fixed costs will not change regardless of the chosen mix, the company plans to identify the product mix that maximizes its total contribution margin. 4. In the Excel template, navigate to the Requirement 4 tab. Using Solver: a. Calculate the maximum contribution margin the company can earn given the capacities of its four manufacturing departments. b. How many units of each product would the company produce to earn the contribution margin from requirement 4a? c. Is your answer to requirement 4a greater than, less than, or equal to your answer from 3d? d. Which of the following best explains the reason for the answer to requirement 4c? & Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Req 4A Req 4B Req 4C Req 4D Calculate the maximum contribution margin the company can earn given the capacities of its four manufacturing departments. The maximum contribution margin is $ 1,850,000 4. In the Excel template, navigate to the Requirement 4 tab. Using Solver: a. Calculate the maximum contribution margin the company can earn given the capacities of its four manufacturing departments. b. How many units of each product would the company produce to earn the contribution margin from requirement 4a? c. Is your answer to requirement 4a greater than, less than, or equal to your answer from 3d? d. Which of the following best explains the reason for the answer to requirement 4c? Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Req 4A Req 4B Req 4C Req 4D How many units of each product would the company produce to earn the contribution margin from requirement 4a? B100 1,000 A200 1,500 Units produced
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started