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Storage Solutions produces plastic storage bins for household storage needs. i (Click the icon to view additional information.) Sales prices and variable costs are as

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Storage Solutions produces plastic storage bins for household storage needs. i (Click the icon to view additional information.) Sales prices and variable costs are as follows: E: (Click the icon to view the costs.) Read the requirements. Requirement 1. Which product should Storage Solutions emphasize? Why? Complete the product mix analysis to determine the contribution margin per machine hour. More Info Storage Solutions Product Mix Analysis Regular Large The company makes two sizes of bins: large (50 gallon) and regular (35 gallon). Demand for the products is so high that Storage Solutions can sell as many of each size as it can produce. The company uses the same machinery to produce both sizes. The machinery can only be run for 2,700 hours per period. Storage Solutions can produce 10 large bins every hour, whereas it can produce 15 regular bins in the same amount of time. Fixed costs amount to $90,000 per period. Sales price per unit Variable cost per unit Contribution margin per unit Units per machine hour X Print Done Contribution margin per machine hour Requirements Data Table - 1. Which product should Storage Solutions emphasize? Why? 2. To maximize profits, how many of each size bin should Storage Solutions produce? 3. Given this product mix, what will the company's operating income be? Sales price per unit Variable costs per unit Regular Large $ 8.90 $ 10.30 3.50 4.40 Print Done Print Done Enter any number in the edit fields and then click Check Answer. parts remaining Clear All Check

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