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Stone Age Surfboards is a small manufacturer of two types of popular high-tide surfboards, the Rockwell and the Limestone models. The manufacturing process consists of
Stone Age Surfboards is a small manufacturer of two types of popular high-tide surfboards, the Rockwell and the Limestone models. The manufacturing process consists of two departments: fabrication and finishing. The fabrication department has 15 skilled workers, each of whom works 5 hours per day. The finishing department has 5 workers, who also work a 5-hour shift. Each pair of Rockwell surfboards requires 3 labor hours in the fabrication department and 1.5 labor hours in finishing. The Limestone model requires 4.5 labor-hours in fabrication and 2 labor-hours in finishing. The company operates 6 days a week. It makes a per-unit profit of $60 on the Rockwell model and $75 on the Limestone model. Approximately 4.1 Rockwell models and 8.4 Limestone models are produced per day. 1 Stone Age Surfboards Data 5 6 Department Fabrication Finishing Product Rockwell Limestone Limitation (hours) 4.5 75 9 Profit/Unit $60.00 $75.00 10 Limestone 12 Model 13 14 Quantity Produced 15 Fabrication 16 Finishing Rockwell 4.1 8.4 Hours Used 177 18 Excess Limestone 19 Market Mixture 20 21 22 Profit Contribution Total Profit What is the total profit generated? $876.00 $965.00 $675.50 $480.50
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