Products B C D $50.00 $37.60 $ 33.50 price per unit $42.30 ble manufacturing cost per unit $ 20.80 $30.70 $ 21.00 $ 19.90 ble selling cost per unit $2.70 $2.10 $1.00 $2.40 g machine minutes per unit 3.30 4.10 2.60 1.30 nly demand in units 1,000 4,000 3,000 3,000 lling machines are potentially the constraint in the production facility. A total of 28,200 minutes are available per month on these machines. any minutes of milling machine time would be required to satisfy demand for all four products? ,500 ,200 000 ,400

Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter11: Performance Evaluation And Decentralization
Section: Chapter Questions
Problem 39E: (Appendix 11A) Manufacturing Cycle Efficiency Kurena Company provided the following information on...
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Question 8
Cranston Corporation makes four products in a single facility. Data concerning these products appear below:
Products
A
C
D
B
$42.30
Selling price per
unit
$50.00 $37.60 $ 33.50
$30.70 $ 21.00 $ 19.90
Variable manufacturing cost per unit $ 20.80
Variable selling cost per unit
$2.10 $1.00 $2.40
$2.70
3.30
Milling machine minutes per unit
4.10 2.60 1.30
Monthly demand in units
1,000 4,000 3,000 3,000
The milling machines are potentially the constraint in the production facility. A total of 28,200 minutes are available per month on these machines.
How many minutes of milling machine time would be required to satisfy demand for all four products?
23,500
28,200
O 11,000
O 31,400
Transcribed Image Text:Question 8 Cranston Corporation makes four products in a single facility. Data concerning these products appear below: Products A C D B $42.30 Selling price per unit $50.00 $37.60 $ 33.50 $30.70 $ 21.00 $ 19.90 Variable manufacturing cost per unit $ 20.80 Variable selling cost per unit $2.10 $1.00 $2.40 $2.70 3.30 Milling machine minutes per unit 4.10 2.60 1.30 Monthly demand in units 1,000 4,000 3,000 3,000 The milling machines are potentially the constraint in the production facility. A total of 28,200 minutes are available per month on these machines. How many minutes of milling machine time would be required to satisfy demand for all four products? 23,500 28,200 O 11,000 O 31,400
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