Rough Stuff makes 2 products: khaki shorts and khaki pants for men. Each product passes through the cutting machine area, which is the chief constraint during production. Khaki shorts take 15 minutes on the cutting machine and have a contribution margin per pair of shorts of $16. Khaki pants take 24 minutes on the cutting machine and have a contribution margin per pair of pants of $32. A) What the contribution margin per the constrained resource for khaki shorts? Round to the nearest penny, two decimal places. B) What the contribution margin per the constrained resource for khaki pants? Round to the nearest penny, two decimal places.
Rough Stuff makes 2 products: khaki shorts and khaki pants for men. Each product passes through the cutting machine area, which is the chief constraint during production. Khaki shorts take 15 minutes on the cutting machine and have a contribution margin per pair of shorts of $16. Khaki pants take 24 minutes on the cutting machine and have a contribution margin per pair of pants of $32. A) What the contribution margin per the constrained resource for khaki shorts? Round to the nearest penny, two decimal places. B) What the contribution margin per the constrained resource for khaki pants? Round to the nearest penny, two decimal places.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Rough Stuff makes 2 products: khaki shorts and khaki pants for men. Each product passes through the cutting machine area, which is the chief constraint during production. Khaki shorts take 15 minutes on the cutting machine and have a contribution margin per pair of shorts of $16. Khaki pants take 24 minutes on the cutting machine and have a contribution margin per pair of pants of $32.
A) What the contribution margin per the constrained resource for khaki shorts? Round to the nearest penny, two decimal places.
B) What the contribution margin per the constrained resource for khaki pants? Round to the nearest penny, two decimal places.
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