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Broze Company makes four products in a single facility. These products have the following unit...

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Accounting

Broze Company makes four products in a single facility. These products have the following unit product costs:

Products
A B C D
Direct materials $14.80 $10.70 $11.50 $11.10
Direct labor 19.90 27.90 34.10 40.90
Variable manufacturing overhead 4.80 3.20 3.10 3.70
Fixed manufacturing overhead

27.00

35.30

27.10

37.70

Unit product cost

$66.50

$77.10

$75.80

$93.40

Additional data concerning these products are listed below.

Products
A B C D
Grinding minutes per unit 4.30 5.80 4.80 3.90
Selling price per unit $76.60 $94.00 $87.90 $104.70
Variable selling cost per unit $2.70 $1.70 $3.80 $2.10
Monthly demand in units 4,500 4,500 3,500 2,500

The grinding machines are potentially the constraint in the production facility. A total of 54,100 minutes are available per month on these machines.

Direct labor is a variable cost in this company.

How many minutes of grinding machine time would be required to satisfy demand for all four products?

54,100

52,650

16,900

72,000

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