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TreadLight produces two types of exercise treadmills: Regular and Deluxe. The exercise craze and related demand is such that Tread Light could use all

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TreadLight produces two types of exercise treadmills: Regular and Deluxe. The exercise craze and related demand is such that Tread Light could use all of its available machine hours producing either model. The two models are processed through the same production department. (Click the icon to view the data.) What product mix will maximize operating income? (Hint: Use the allocation of fixed manufacturing overhead to determine the proportion of machine hours used by each product.) Prepare the product mix analysis. Get more help Data table TreadLight Product Mix Analysis 1 Deluxe Regular 2 3 Sale price 4 Less expenses: B Per Unit Deluxe Regular $ 960 $ 570 5 Direct materials 300 130 6 Direct labor 84 176 7 Variable manufacturing overhead 176 88 8 Fixed manufacturing overhead* 100 50 9 123 Variable operating expenses 71 10 Total expenses $ 783 $ 515 11 Operating income $ 177 $ 55 *Allocated on the basis of machine hours Print Done - Clear all Check answer

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