The beverage stand sells three types of cold drinks 1. Just-Cola in 12-oz. cans for $1.40 per can 2. Root Beer in 20-oz. plastic bottles for $1.75 per bottle 3. Right - Cola in 20-oz. glass bottles for $2.25 per bottle Joe's Beach Hut pays its suppliers the following: 1. $0.15 per 12-oz. can of just - cola 2. $0.40 per 20-oz. bottle of root beer 3. $0.70 per 20-oz bottle of right-cola Joe's Beach Hut's monthly fixed expenses include the following: Hut rental. .... $ 355 Refrigerator rental .. 60 1,450 Joe's salary... Total fixed expenses $ 1 865 Requirements 1. What is the constraining factor at Joe's Beach Hut? What should Joe stock to maximize profits? What is the maximum contribution margin he could generate from refrigerated drinks each day? 2. To provide variety to customers, suppose Joe refuses to devote more than 70 linear feet and no less than 20 linear feet to any individual product. Under this condition, how many linear feet of each drink should be stocked? How many units of each product will be available for sale each day? 3. Assuming the product mix calculated in Requirement 2, what contribution margin will be generated from refrigerated drinks each day? Each morning, Joe Stenback stocks the drink case at Joe's Beach Hut in Virginia Beach, Virginia Joe's Beach Hut has 120 linear feet of refrigerated display space for cold drinks Each linear foot can hold either five 12-ounce cans or four 20-ounce plastic or glass bottles Click the icon to view the information on the cold drinks) The beverage stand can sell all drinks stocked in the display case each morning Read the requirements Requirement 1. What is the constraining factor at Joe's Beach Hut? What should Joe stock to maximize profits? What is the maximum contribution margin he could generate from refrigerated drinks each day? The constraining factor is Joe's should stock the drink with the contribution margin linear feet of shell space number of customers per day number of Just-cola cans number of root beer bottles number of right-cola bottles