Short Inc Has 5,200 Machine Hours Available Each Month Required:
A

question 63

Essay

Short Inc. has 5,200 machine hours available each month. The following information on the company's three products is available:
$$\begin{array} { l r r r } & \text { Product 1 } & \text { Product 2 } & \text { Product 3 } \\\text { Contribution margin per unit } & \$ 45.00 & \$ 5 4 . 0 0 &\$ 2 2 . 5 0 \\\text { Machine hours per unit } & 3 & 2 & 1 \\\text { Sales demand in urits } & 900 & 1,000 & \mathbf { 3 , 0 0 0 }\end{array}$$
Required:
a. What production schedule will maximize the company's profits?
b. What will be the maximum possible contribution margin?

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Definitions:

Social Dominance Orientation

An individual's degree of preference for inequality among social groups, with a high orientation favoring hierarchical superiority and a low orientation emphasizing equality.

Prejudiced

Holding preconceived opinions or judgments about someone or something without adequate knowledge or factual basis.

Prejudice

Preconceived opinion or bias against an individual or group based on their characteristics, often without proper knowledge or experience.

Discrimination

Unjust or prejudicial treatment of different categories of people or things, especially on the grounds of race, age, sex, or disability.