Selling price per item Variable cost per item Contribution margin per item Machine hours per item Chairs O $11270 O $11520 $78.00 61.00 $17.00 1.60 Tables $95.00 77.00 $18.00 1.60 Pharoah has 1024 machine hours available each month. The demand for chairs is 610 units per month and the demand for tables is 390 units per month. If Pharoah allocates its production capacity between the chairs and tables so that it maximizes the company's contribution margin, what will the total contribution margin be?

Selling price per item Variable cost per item Contribution margin per item Machine hours per item Chairs O $11270 O $11520 $78.00 61.00 $17.00 1.60 Tables $95.00 77.00 $18.00 1.60 Pharoah has 1024 machine hours available each month. The demand for chairs is 610 units per month and the demand for tables is 390 units per month. If Pharoah allocates its production capacity between the chairs and tables so that it maximizes the company's contribution margin, what will the total contribution margin be?

Essentials of Business Analytics (MindTap Course List)

2nd Edition

ISBN:9781305627734

Author:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson

Publisher:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson

Chapter13: Nonlinear Optimization Models

Section: Chapter Questions

Problem 5P: Jims Camera shop sells two high-end cameras, the Sky Eagle and Horizon. The demand for these two...

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K Clan Furniture Company manufactures and sells oak tables and chairs. Price and cost data for the furniture follow: Click the icon to view the price and cost data.) Clan Furniture has three sales representatives: Alfred, Bob, and Cait. Alfred sold 60 tables with 8 chairs each. Bob sold 70 tables with 6 chairs each. Cait sold 100 tables with 4 chairs each. Read the requirements. Sales representative: Alfred Bob Cait Net sales revenue $ 66,000 $ 70,000 $ 90,000 47,700 Variable costs Contribution margin 52,150 69,500 $ 18,300 $ 17,850 $ 20,500 Now calculate the contribution margin ratio for each sales representative. (Round to two decimal places-the nearest hundredth percent-X.XX%.) Contribution margin ÷ Net sales revenue = Contribution margin ratio Alfred $ 18,300 " ÷ 66,000 = 27.73 % Bob $ 17,850 ÷ $ 70,000 = 25.50 % 20,500 + $ 90,000 = 22.78 % Cait $ Requirement 2. Which sales representative has the highest contribution margin ratio? Explain why. is the sales representative with the…
Wildhorse Industries manufactures chairs and tables that are in high demand by local office furniture stores. Following is information for each of these products: Selling price per item Variable cost per item Contribution margin per item Machine hours per item Chairs O $9120 O $13080 O $10370 O $7320 $72.00 60.00 $12.00 1.60 Tables $92.00 75.00 $17.00 1.60 Wildhorse has 976 machine hours available each month. The demand for chairs is 580 units per month and the demand for tables is 360 units per month. If Wildhorse allocates its production capacity between the chairs and tables so that it maximizes the company's contribution margin, what will the total contribution margin be?
Richardson Ski Racing (RSR) sells equipment needed for downhill ski racing. One of RSR's products is fencing used on downhill courses. The fence product comes in 150-foot rolls and sells for $215 per roll. However, RSR offers quantity discounts. The following table shows the price per roll depending on order size: Quantity Ordered To From 1 30 31 60 61 120 121 and up Price per Roll $215 $195 $175 $155 Click on the datafile logo to reference the data. DATA file (a) Use the XLOOKUP function with the preceding pricing table to determine the total revenue from these orders. Hint: Xlookup is an Excel function available in Excel 2021 and above and in Microsoft 360. VLOOKUP, in this case will result in the same answer. $ 32260 (b) Use the COUNTIF function to determine the number of orders in each price bin. From To Price per Roll Number of Orders 30 $215 40 31 60 $195 50 61 120 $175 60 121 and up $155 22 * * * *
Richardson Ski Racing (RSR) sells equipment needed for downhill ski racing. One of RSR's products is fencing used on downhill courses. The fence product comes in 150-foot rolls and sells for $215 per roll. However, RSR offers quantity discounts. The following table shows the price per roll depending on order size: From Quantity Ordered To 30 Price per Roll 1 31 60 61 120 121 and up $215 $195 $175 $155 Click on the datafile logo to reference the data. DATA file (a) Use the VLOOKUP function with the preceding pricing table to determine the total revenue from these orders. (b) Use the COUNTIF function to determine the number of orders in each price bin. From To Price per Roll Number of Orders 1 31 61 32 80 $215 $195 120 $175 121 and up $155 172 Hint(s) Check My Work
EOQ for a retailer. The Fabric World sells fabrics to a wide range of industrial and consumer users. One of the products it carries is denim cloth, used in the manufacture of jeans and carrying bags. The supplier for the denim cloth pays all incoming freight. No incoming inspection of the denim is necessary because the supplier has a track record of delivering high-quality merchandise. The purchasing officer of the Fabric World has collected the following information:
Semen’s is a manufacturer that produces bracket assemblies. Demand for bracket assemblies (x) is 135 units. The following is the BoM in indented form: ITEM DESCRIPTION USAGE X BRACKET ASSEMBLY 1 A WALL BOARD 4 B HANGER SUBASSEMBLY 2 D HANGER CASTING 2 E CERAMIC KNOB 2 C RIVIT HEAD SCREW 3 F METAL TONG 5 G PLASTIC CAP 2 BELOW IS A TABLE INDICATING CURRENT INVENTORY LEVELS ITEM X A B…
Coast to Coast Surfboards Inc. manufactures and sells two styles of surfboards, Atlantic Wave and Pacific Pounder. These surfboards are sold in two regions, East Coast and West Coast. Information about the two surfboards is as follows: Atlantic Wave Pacific Pounder Sales price $450 $400 Variable cost of goods sold per unit (167) (192) Manufacturing margin per unit $283 $208 Variable selling expense per unit (202) (112) Contribution margin per unit $81 $96 The sales unit volume for the territories and products for the period is as follows: East Coast West Coast Atlantic Wave 2,440 1,220 Pacific Pounder 0 1,220 Question Content Area a . Prepare a contribution margin by sales territory report. Compute the contribution margin ratio for each territory as a whole percent, rounded to two decimal places, if required.
Richardson Ski Racing (RSR) sells equipment needed for downhill ski racing. One of RSR's products is fencing used on downhill courses. The fence product comes in 150-foot rolls and sells for $210 per roll. However, RSR offers quantity discounts. The following table shows the price per roll depending on order size: Quantity Ordered From To Price per Roll 1 75 $210 76 125 $185 126 225 $170 226 and up $145 The file RSR contains 172 orders that have arrived for the coming six weeks. (e) Use the VLOOKUP function with the preceding pricing table to determine the total revenue (in dollars) from these orders. $ (b) Use the COUNTIF function to determine the number of orders in each price bin. Quantity Ordered From To Price per Roll Number of Orders 3 75 $210 76 125 $185 126 225 $170 226 and up $145
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Sunland Appliance Co. manufactures low-price, no-frills appliances that are in great demand for rental units. Pricing and cost information on Sunland's main products are as follows. Item Refrigerator Range Stackable washer/dryer unit Stand-Alone Selling Price (Cost) $520 ($245) $610 ($330) $780 ($440) Customers can contract a purchase either individually at the stated prices or for a three-item bundle with a price of $1,950. The bundle price includes delivery and installation. Sunland provides delivery and installation as a stand-alone service for any of its products for $90. The company follows IFRS. Respond to the requirements related to the following independent revenue arrangements for Sunland. (a) On June 1, 2023, Sunland sold 90 washer/dryer units without installation to Sandhill Rentals for $70,200 (on credit). Sandhill is a newer customer and is unsure of how this product will work in its older rental units. Sunland offers a 60-day return privilege and estimates, based on prior…
The Fabric World sells fabrics to a wide range of industrial and consumer users. One of the products it carries is denim cloth, used in the manufacture of jeans and carrying bags. The supplier for the denim cloth pays all incoming freight. No incoming inspection of the denim is necessary because the supplier has a track record of delivering high-quality merchandise. The purchasing officer of the Fabric World has collected the following information: Annual demand for denim cloth 40,700 yards Ordering cost per purchase order $185 Carrying cost per year 10% of purchase costs Safety-stock requirements = None Cost of denim cloth $11 per yard The purchasing lead time is 2 weeks. The Fabric World is open 220 days a year (44 weeks for 5 days a week). Q. Calculate the EOQ for denim cloth.
The Fabric World sells fabrics to a wide range of industrial and consumer users. One of the products it carries is denim cloth, used in the manufacture of jeans and carrying bags. The supplier for the denim cloth pays all incoming freight. No incoming inspection of the denim is necessary because the supplier has a track record of delivering high-quality merchandise. The purchasing officer of the Fabric World has collected the following information: Annual demand for denim cloth 40,700 yards Ordering cost per purchase order $185 Carrying cost per year 10% of purchase costs Safety-stock requirements = None Cost of denim cloth $11 per yard The purchasing lead time is 2 weeks. The Fabric World is open 220 days a year (44 weeks for 5 days a week). Q. Calculate the number of orders that will be placed each year.