Britt, located in Port St. Lucie, Florida, produces two lines of electric toothbrushes. deluxe and standard. Because Britt can sell all the toothbrushes it can produce, the owners are expanding the plant. They are deciding which product line to emphasize. To make this decision, they assemble the following data: E (Click the icon to view the data.) After expansion, the factory will have a production capacity of 4,000 machine hours per month. The plant can manufacture either 50 standard electric toothbrushes or 23 deluxe electric toothbrushes per machine hour.

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 8P: Andalus Furniture Company has two manufacturing plants, one at Aynor and another at Spartanburg. The...
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Britt, located in Port St. Lucie, Florida, produces two lines of electric toothbrushes. deluxe and standard. Because Britt can sell all the toothbrushes it can
produce, the owners are expanding the plant. They are deciding which product line to emphasize. To make this decision, they assemble the following data:
E (Click the icon to view the data.)
After expansion, the factory will have a production capacity of 4,000 machine hours per month. The plant can manufacture either 50 standard electric
toothbrushes or 23 deluxe electric toothbrushes per machine hour
Read the requirements.
Requirement 1. Identify the constraining factor for Britt.
Britt's constraint is
Data Table
direct materials
labor hours
Per Unit
machine hours
Deluxe
Standard
Toothbrush
Toothbrush
82 $
52
Sales price
25
18
Variable costs
57 $
34
Contribution margin
69 5%
65.4%
Contribution margin ratio
Print
Done
Requirements
1. Identify the constraining factor for Britt.
2. Prepare an analysis to show which product line to emphasize.
Transcribed Image Text:Britt, located in Port St. Lucie, Florida, produces two lines of electric toothbrushes. deluxe and standard. Because Britt can sell all the toothbrushes it can produce, the owners are expanding the plant. They are deciding which product line to emphasize. To make this decision, they assemble the following data: E (Click the icon to view the data.) After expansion, the factory will have a production capacity of 4,000 machine hours per month. The plant can manufacture either 50 standard electric toothbrushes or 23 deluxe electric toothbrushes per machine hour Read the requirements. Requirement 1. Identify the constraining factor for Britt. Britt's constraint is Data Table direct materials labor hours Per Unit machine hours Deluxe Standard Toothbrush Toothbrush 82 $ 52 Sales price 25 18 Variable costs 57 $ 34 Contribution margin 69 5% 65.4% Contribution margin ratio Print Done Requirements 1. Identify the constraining factor for Britt. 2. Prepare an analysis to show which product line to emphasize.
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