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The company makes two sizes of bins: large (50 gallon) and regular (35 gallon) Demand for the products is so high that Store It can
The company makes two sizes of bins: large (50 gallon) and regular (35 gallon) Demand for the products is so high that Store It 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 3,100 hours per period. Store It can produce 9 large bins every hour, whereas it can produce 16 regular bins in the same amount of time. Fixed costs amount to $85,000 per period
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