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Slavin Corporation manufactures two products, Alpha and Delta. Each product requires time on a single machine has a monthly capacity of 500 hours. Total market

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Slavin Corporation manufactures two products, Alpha and Delta. Each product requires time on a single machine has a monthly capacity of 500 hours. Total market demand for the two products is limited to 1 monthly. Slavin is currently producing 110 Alphas and 110 Deltas each month. Cost and machine-usage products are shown in the following table, which Slavin managers use for planning purposes. Alpha $ 121 Total Delta $ 151 33 36 Price Less variable costs per unit Material Labor Overhead Contribution margin per unit Fixed costs Manufacturing Marketing and administrative 18 24 16.5 $ 62.5 18 $ 64 $ 7,600 $ 4,600 $12,200 2.0 2.5 Machine hours per unit Machine hours used Machine hours available Quantity produced Maximum demand Profit 495 500 110 150 $1,715 110 150 Required: a. What is the optimal production schedule for Slavin? In other words, how many Alphas and Deltas shoul produce each month to maximize monthly profit? b. If Slavin produces at the level found in requirement (a), how much will monthly profit increase over the c production schedule? 33 Slavin Corporation manufactures two products, Alpha and Delta. Each product requires time on a single machine. The machine has a monthly capacity of 500 hours. Total market demand for the two products is limited to 150 units (each) monthly. Slavin is currently producing 110 Alphas and 110 Deltas each month. Cost and machine-usage data for the two products are shown in the following table, which Slavin managers use for planning purposes. Alpha Delta Total Price $ 121 $151 Less variable costs per unit Material 18 Labor 24 36 Overhead 16.5 18 Contribution margin per unit $ 62.5 $ 64 Fixed cost Manufacturing $ 7,600 Marketing and administrative $4,600 $12,200 Machine hours per unit Machine hours used Machine hours available Quantity produced 110 Maximum demand 150 Profit $1,715 . 2.0 2.5 495 SOD 110 150 Required: a. What is the optimal production schedule for Slavin? In other words, how many Alphas and Deltas should the company produce each month to maximize monthly profit? b. If Slavin produces at the level found in requirement (a), how much will monthly profit increase over the current production schedule? Complete this question by entering your answers in the tabs below. Required A Required B What is the optimal production schedule for Slavin? In other words, how many Alphas and Deltas should the company produce each month to maximize monthly profit? (Do not round Intermediate calculations.)

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