Anne Sugar makes large ceramic pots for use in outdoor landscaping. She currently has two models, one square and the other round. Because of the size of Anne’s creations, only one pot can be fired in

Question

admin

17.07.2022 - 04:22

Anne Sugar makes large ceramic pots for use in outdoor landscaping. She currently has two models, one square and the other round. Because of the size of Anne’s creations, only one pot can be fired in

Question:

Anne Sugar makes large ceramic pots for use in outdoor landscaping. She currently has two models, one square and the other round. Because of the size of Anne’s creations, only one pot can be fired in the kiln at a time. Information about each model follows:

	Square		Round
Sales price	$70		$90
Variable cost	$15		$20
Firing time	2.5	hours	3.5	hours

Assume that Anne can sell as many pots as she can create but that she is limited as to the number of hours that the kiln can be run.

Required:

Compute the contribution margin per unit and contribution margin per hour of firing time.

	Square Ceramic Pot	Round Ceramic Pot
Contribution Margin per Unit
Contribution Margin per Hour

Answers (0)

Jacqueline April 8, 2023 в 03:16

The maximum area Anne can afford is $850 / $25 per square foot = 34 square feet. Let the length of the patio be 3x and the width be 2x. The area of the rectangle is (3x)(2x) = 6x^2. We want to find the largest possible dimensions of the patio, so we need to maximize the area while keeping it under 34 square feet. Therefore, we set up the inequality 6x^2 ? 34, which simplifies to x^2 ? 17/3. Taking the square root of both sides, we get x ? ?(17/3). Since we want integer values for the length and width of the patio, we round down to the nearest whole number and get x = 2. Therefore, the dimensions of the largest patio Anne can afford are 6x2 and 4x2, or 12 feet by 8 feet.

Do you know the answer?

Leave a comment Cancel Response

Not sure about the answer?

Find the right answer to the question Anne Sugar makes large ceramic pots for use in outdoor landscaping. She currently has two models, one square and the other round. Because of the size of Anne’s creations, only one pot can be fired in by subject Business, and if there is no answer or no one has given the right answer, then use the search and try to find the answer among similar questions.

Search for other answers

New questions in the category: Business

Calculate the Debt Ratio given that Total Assets is $1620 and Total Owners’ Equity is $1035. a. 36.11% b. 36.56% c. 37.03% d. 37.4%

Answers (0)

A tank of capacity 200 gallons holds 100 gallons of water with 25 pounds of sugar in solution. Pure water is poured into it at a rate of 2 gallons per minute, and the well stirred mixture flows out of this tank at a rate of

Answers (0)

List the basic steps in the recording process.

Answers (1)

Do independent contractors get overtime pay?

Answers (1)

Briefly distinguish between financial and managerial accounting as they relate to (i) the primary users, (ii) the type and frequency of reports, (iii) the purpose of reports, and (iv) the content of reports.

Answers (0)