Jones Manufacturing has 100,000 labor hours available for producing Product X and Y. Consider the following information:
21.How many units of Product X should Jones produce?
22.How many units of Product Y should Jones produce?
23.What is the contribution margin the company expects to
generate?
Contribution margin per labor hour
X | Y | |
Contribution margin per unit | 20 | 15 |
Labor hour per unit | 10 | 5 |
Contribution margin per hour | 2 | 3 |
Rank | II | I |
a) 5000 Units of product X
b) 10000 Units of product Y
c) Total Contribution margin = 5000*20+10000*15 = 250000
Jones Manufacturing has 100,000 labor hours available for producing Product X and Y. Consider the following...
Use the following information for the next 3 questions. Jones Manufacturing has 100,000 labor hours available for producing Product X and Y. Consider the following information: Product X Product Y 10 Required labor time per unit (hours) Maximum demand (units) Contribution margin per unit 10,000 10,000 $20.00 $15.00 21. How many units of Product X should Jones produce? 22. How many units of Product Y should Jones produce? 23. What is the contribution margin the company expects to generate?
Use the following information for the next 3 questions. Jones Manufacturing has 100,000 labor hours available for producing Product X and Y. Consider the following information: Product X Product Y Required labor time per unit (hours) 10 5 Maximum demand (units) 10,000 10,000 Contribution margin per unit $20.00 $15.00 21. How many units of Product X should Jones produce? 22. How many units of Product Y should Jones produce? 23. What is the contribution margin the company expects to generate?
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Engineering Economics
A manufacturing company is producing a product with variable cost of $6/unit, fixed costs of $70,000, and selling price of $13/unit. a. How many units should the company produce and how much must the sales be to break-even? b. Compute the Marginal Contribution Rate for this line of production. c. The manager demanded $100,000 profit, how many units must the company produce to reach the manager's goal if the variable cost per unit remains $6 and the price...