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Santana Rey has found that Business Solutions's line of computer desks and chairs has become very popular and she is finding it hard to keep
Santana Rey has found that Business Solutions's line of computer desks and chairs has become very popular and she is finding it hard to keep up with demand. She knows that she cannot all of her orders for both item , so she decides she must determine the optimal sales mix given the resources she has valable. Information about the desks and chairs follows Chairs 10. 290.00 Selling price per unit Variable costs per unit Contribution margin per unit Direct labor hours per unit Expected demand for next quarter Desk $1,319.5 00. $99. 500 hours 166 desks 6 hours 46 chairs Santana has determined that she only has 1,354 direct labor hours available for the next quarter and wants to optimize her contribution margin given the limited number of direct labor hours available Required: Determine the optimal sales mix and the contribution margin the business will earn at that sales mix. (Round per unit amounts to 2 decimal places.) Maximum number of uns to be solo Hours required to produce m omum For most profitable sales mix Hours dedicated to the production of each 1 of 4 !! Next > Jpe here to search
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