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Required information The following information applies to the questions displayed below. Conroy Company manufactures two products-B100 and A200. The company provided the following Information with

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Required information The following information applies to the questions displayed below. Conroy Company manufactures two products-B100 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 departments - Fabrication 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) 4,099 6,000 5,880 4,500 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. Click here to download the Excel template, which you will use to answer the questions that follow. Prem 1 2 3 4 of 4 | Next > c Conroy Company Volume Trade-Off Decisions with More Than One Constra Contribution Margin Analysis vw N- B100 A200 Departmental Data: Hours Deman B100 (Hours per Unit Fabrication Molding Machining Assemble & Pack 7 Units sold 8 Selling price 9 Variable expense per unit 10 Contribution margin per unit 11 Contribution margin per hour $ 1,200 $ 700 $ 500 $ 2,100 1,200 900 $ B100 A200 Total 14 Sales 15 Variable expenses 16 Contribution margin us is wal Departmental Data: B100 Fabrication Molding Machining Assemble & Pack Requirements 1-3 Requirement 4 Requirement 5 Requirement Requirement sady I Type here to search luju onroy Company sions with More Than One Constraint B100 Max Units A200 Max Units Departmental Data: Hours Demanded per Unit and Capacity Available B100 A200 Capacity (Hours per Unit) (Hours per Unit) (in Hours) Fabrication 4,000 Molding 6,000 Machining 5,000 Assemble & Pack 4,500 ON N ON Departmental Data: Used vs. Unused Capacity (in Hours) B100 A200 Used Fabrication Molding Machining Assemble & Pack Unused 4,000 6,000 5,000 4,500 1-3 Requirement 4 Requirement 5 Requirement 7 Requirement 8 earch li YTICS 1 (Excel) Optimum Capacity Utilization Required: 1. Refer to the "Requirements 1-3" tab in your Excel spreadsheet. Assume the company focuses solely on producing B100: a. Which department would be the constraint? (Hint: Create formulas in cells J7 through to that calculate B100's maximum oulputin each department.) b. What is B100's contribution margin per hour of the constraining resource that you identified in requirement la? (Hint: Input a formula in cell B11 that translates 8100's contribution margin per unit in cell 810 to its contribution margin per hour of the constraining resource.) Complete this question by entering your answers in the tabs below. Reg 1A Reg 1B Which department would be the constraint? (Hint: Create formulas in cells J7 through J10 that calculate B100's maximum output in each department.) The constraining department is Req 1B >

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