Custom Furniture Manufactures a Small Table and a Large Table

question 125

Multiple Choice

Custom Furniture manufactures a small table and a large table.The small table sells for $900,has variable costs of $560 per table,and takes ten direct labor hours to manufacture.The large table sells for $1,500,has variable costs of $980,and takes eight direct labor hours to manufacture.The company has a maximum of 5,000 direct labor hours per month when operating at full capacity.If there are no constraints on sales of either product,and the company could choose any proportions of product mix that they wanted,what is the optimum product mix to maximize operating income of the company?

• A)400 units of small and 125 units of large
• B)Zero units of small and 625 units of large
• C)100 units of small and 500 units of large
• D)500 units of small and zero units of large

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Definitions:

Developing Resilience

The process of building the capacity to recover quickly from difficulties or adapt in the face of adversity.

Resilience Training

Educational programs or strategies aimed at improving individuals' ability to withstand and recover from adverse situations, stress, or challenges.

Mental Attitudes

The psychological state of mind or disposition towards certain ideas, objects, or people, which influences behavior and perception.

Self-defeating Behavior

Activities or attitudes that work against one’s best interest.