Question
The Golden Wheels Trailer Company recorded the following information for two of their trailers: Trailer A Trailer B Processing time 3 hours 5 hours Vinyl
The Golden Wheels Trailer Company recorded the following information for two of their trailers:
Trailer A Trailer B
Processing time 3 hours 5 hours
Vinyl cover used 17 sq. ft. 13 sq. ft.
Selling price $60.00 $90.00
Variable cost $45.00 $60.00
Fixed cost $20.00 $30.00
There are 100 hours available in the plant and 75 square feet of vinyl available per operating period.
What is the objective function for maximizing profits?
Answer: Maximize $15A + $30B
What is the explanation to arrive at the answer above?
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Accounting concepts and applications
Authors: Albrecht Stice, Stice Swain
11th Edition
978-0538750196, 538745487, 538750197, 978-0538745482
