Benolt Company produces three products, A, B. and C. Data concerning the three products follow (per unlt): Product A Selling price Less: Variable expenses: Direct materials Other variable expenses Total variable expenses Contribution nargin $132.e0 $92.40 $115.5e 39.6e 24.75 14.85 44.55 69.30 39.60 66.00 s0.85 79. 20 $ 52.80 $23.10 $ 34.65 CM ratio 40 251 30x Demand for the company's products Is very strong. with far more orders each month than the company has raw materials avallable to produce. The same material is used in each product. The materlal costs $4.95 per klogram with a maximum of 8,230 kilograms avallable each month. Required: Calculate the contribution per constralned resource and prioritize the orders for products A, B and C. (Round your answers to 2 decimal places.) A B Contribution per hour of labour used Priority Second Third First
Benolt Company produces three products, A, B. and C. Data concerning the three products follow (per unlt): Product A Selling price Less: Variable expenses: Direct materials Other variable expenses Total variable expenses Contribution nargin $132.e0 $92.40 $115.5e 39.6e 24.75 14.85 44.55 69.30 39.60 66.00 s0.85 79. 20 $ 52.80 $23.10 $ 34.65 CM ratio 40 251 30x Demand for the company's products Is very strong. with far more orders each month than the company has raw materials avallable to produce. The same material is used in each product. The materlal costs $4.95 per klogram with a maximum of 8,230 kilograms avallable each month. Required: Calculate the contribution per constralned resource and prioritize the orders for products A, B and C. (Round your answers to 2 decimal places.) A B Contribution per hour of labour used Priority Second Third First
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Benolt Company produces three products, A, B. and C. Data concerning the three products follow (per unit):
Product
A
Selling price
Less: Variable expenses:
Direct materials
Other variable expenses
Total variable expenses
Contribution nargin
$132.00
$92.48
$115.50
14.85
66.ee
se.85
39.6e
24.75
44.55
69.30
39.60
79.20
$ 52.80
$23.10
$ 34.65
CH ratio
40
251
30x
Demand for the company's products Is very strong. with far more orders each month than the company has raw materials avallable to
produce. The same material is used in each product. The materlal costs $4.95 per klogram with a maximum of 8,230 kilograms
avallable each month.
Required:
Calculate the contribution per constralned resource and prioritize the orders for products A, B and C. (Round your answers to 2
decimal places.)
A
Contribution per hour of labour used
Priority
Second
Third
First
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