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Shimmer Bath Products, Inc. (SBP) makes a variety of ceramic sinks and tubs. SBP has just developed a line of sinks and tubs made from

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Shimmer Bath Products, Inc. (SBP) makes a variety of ceramic sinks and tubs. SBP has just developed a line of sinks and tubs made from a mixture of glass and ceramic. The sinks sell for $150 each and have variable costs per unit of $80. The tubs sell for $600 each and have variable costs per unit of $450. The glass and ceramic sinks and tubs require the use of specialized molding equipment. The specialized molding equipment has 4,050 hours of capacity per year. A sink uses 2 hours of specialized molding equipment time; a tub uses 5 hours of specialized molding equipment time. Assume that SBP can sell as many as 1.000 sinks and 500 tubs per year. Assuming SBP allocates the machine time to maximize operating incorne, how many tubs should SBP produce? 500 410 675 810

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