Answer- | ||||
Product TLX | Product MTV | |||
Selling Price P.u | $ 15.00 | $ 9.50 | ||
Variable Cost p.u | $ 4.80 | $ 5.50 | ||
Contribution p.u | $ 10.20 | $ 4.00 | ||
Particulars | ||||
Max product to manufacture (a) | 4700 | 2500 | ||
Available hours (b) | 2750 hr | |||
Units Manufactured per hour (c ) | 2 | 5 | ||
No. of units manufactured (d) | 4700 | 2000 | ||
Hours utilised (d/c) | 2350 hr | 400 hr | ||
Most profitable Sales Mix is to manufacture 4700 units of TLX and 2000 units of Product MTV | ||||
Product TLX | Product MTV | Total | ||
Selling Price P.u | $ 15.00 | $ 9.50 | ||
Variable Cost p.u | $ 4.80 | $ 5.50 | ||
Contribution p.u | $ 10.20 | $ 4.00 | ||
Units sold | 4700 | 2000 | ||
Total Contribution | $ 47,940.00 | $ 8,000.00 | $ 55,940.00 | |
Maximum Contribution is $ 55,940 |
Colt Company owns a machine that can produce two specialized products. Production time for Product TLX...
Colt Company owns a machine that can produce two specialized products. Production time for Product TLX is two units per hour and for Product MTV is five units per hour. The machine's capacity is 2,750 hours per year. Both products are sold to a single customer who has agreed to buy all of the company's output up to a maximum of 4,700 units of Product TLX and 2,500 units of Product MTV. Selling prices and variable costs per unit to...
Colt Company owns a machine that can produce two specialized products. Production time for Product TLX is two units per hour and for Product MTV is four units per hour. The machine’s capacity is 2,500 hours per year. Both products are sold to a single customer who has agreed to buy all of the company’s output up to a maximum of 4,250 units of Product TLX and 1,980 units of Product MTV. Selling prices and variable costs per unit to...
Colt Company owns a machine that can produce two specialized products. Production time for Product TLX is two units per hour and for Product MTV is four units per hour. The machine's capacity is 2,300 hours per year. Both products are sold to a single customer who has agreed to buy all of the company's output up to a maximum of 3,910 units of Product TLX and 1,840 units of Product MTV. Selling prices and variable costs per unit to...
Colt Company owns a machine that can produce two specialized products Production time for Product TLX is three units per hour and for Product MTV is four units per hour. The machine's capacity is 2,100 hours per year. Both products are sold to a single customer who has agreed to buy all of the company's output up to a maximum of 3,570 units of Product TLX and 4,010 units of Product MTV. Selling prices and variable costs per unit to...
Colt Company owns a machine that can produce two specialized products. Production time for Product TLX is two units per hour and for Product MTV is five units per hour. The machine's capacity is 2,100 hours per year. Both products are sold to a single customer who has agreed to buy all of the company's output up to a maximum of 3,570 units of Product TLX and 1,905 units of Product MTV. Selling prices and variable costs per unit to...
Colt Company owns a machine that can produce two specialized products. Production time for Product TLX is two units per hour and for Product MTV is five units per hour. The machine's capacity is 2,300 hours per year. Both products are sold to a single customer who has agreed to buy all of the company's output up to a maximum of 3,910 units of Product TLX and 2.105 units of Product MTV. Selling prices and variable costs per unit to...
Colt Company owns a machine that can produce two specialized products Production time for Product TLX is three units per hour and for Product MTV is four units per hour. The machine's capacity is 2.400 hours per year. Both products are sold to a single customer who has agreed to buy all of the company's output up to a maximum of 4,080 units of Product TLX and 4,540 units of Product MTV Selling prices and variable costs per unit to...
Colt Company owns a machine that can produce two specialized products. Production time for Product TLX is two units per hour and for Product MTV is four units per hour. The machine’s capacity is 2,500 hours per year. Both products are sold to a single customer who has agreed to buy all of the company’s output up to a maximum of 4,250 units of Product TLX and 1,960 units of Product MTV. Selling prices and variable costs per unit to...
Colt Company owns a machine that can produce two specialized products. Production time for Product TLX is two units per hour and for Product MTV is four units per hour. The machine’s capacity is 2,500 hours per year. Both products are sold to a single customer who has agreed to buy all of the company’s output up to a maximum of 4,250 units of Product TLX and 1,910 units of Product MTV. Selling prices and variable costs per unit to...
Exercise 10-9 Sales mix determination and analysis LO A1 Colt Company owns a machine that can produce two specialized products. Production time for Product TLX is two units per hour and for Product MTV is five units per hour. The machine’s capacity is 2,750 hours per year. Both products are sold to a single customer who has agreed to buy all of the company’s output up to a maximum of 4,700 units of Product TLX and 2,500 units of Product...