Brun, located in Port St. Lucie, Florida, produces two lines of electric toothbrushes: deluxe and...
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Brun, located in Port St. Lucie, Florida, produces two lines of electric toothbrushes: deluxe and standard. Because Brun 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: (Click the icon to view the data.) After expansion, the factory will have a production capacity of 4,200 machine hours per month. The plant can manufacture either 55 standard electric toothbrushes or 25 deluxe electric toothbrushes per machine hour. Read the requirements Requirement 1. Identify the constraining factor for Brun. - X Brun's constraint is Data table Requirement 2. Prepare a product mix analysis to show which product line to emphasize. Deluxe Standard Toothbrushes Toothbrushes Per Unit Deluxe Standard Toothbrush Toothbrush $ 82 $ 54 20 18 Sales price Variable costs Contribution margin per $ 62 $ 36 Contribution margin Contribution margin ratio Decision: 75.6% 66.7% Requirements Print Done 1. Identify the constraining factor for Brun. 2. Prepare an analysis to show which product line to emphasize. Print Done
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