Maurice Tutor

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    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

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    Phoniex University
    Oct-2001 - Nov-2016

Category > Accounting Posted 18 Aug 2017 My Price 7.00

Soft Mattress, Inc

Maximizing Contribution Margin Given a Limited Resource

Soft Mattress, Inc., produces both a queen- and a king-size soft mattress. Selected data related to each product follow:

                                                       Queen                 King

Sales Price                                $525.00          $635.00

Direct Materials                     350.00          365.00

Direct Labor                           75.00                       85.00

Variable Overhead                    25.00                 35.00

Stuffing Hours per mattress       1 3

Only two employees are trained to stuff the secret soft ingredient into the mattresses. They have a maximum of 4,000 total stuffing hours per year.

Assuming that demand is not a constraint, how many queen- and king-size mattresses should be produced by Soft Mattress, Inc. considering available stuffing hours as a constraint resource? If no units of a product should be produced, enter "0"

Queen-Size Mattresses?units

King Ac€?o Size Mattresses?units

Answers

Maurice Tutor
(5)
Status NEW Posted 18 Aug 2017 05:08 PM My Price 7.00

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