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The polishing machine used for both models has a capacity of 48,000 hours annually. Fixed manufacturing costs are $8,200,000 annually. Required: a. Suppose that

 

The polishing machine used for both models has a capacity of 48,000 hours annually. Fixed manufacturing costs are $8,200,000 annually. Required: a. Suppose that the maximum annual unit sales that Christine's can achieve is 18,000 units of the Model 94 and 17,000 of the Model 101. How many units of each watch model should Christine's produce annually? b. Suppose that the maximum annual unit sales that Christine's achieve make is 16,000 units of the Model 94 and 13,000 of the Model 101. How many units of each watch model should Christine's produce annually?

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