Computer Products Produces Two Keyboards,Regular and Special

question 102

Multiple Choice

Computer Products produces two keyboards,Regular and Special.Regular keyboards have a unit contribution margin of $128,and Special keyboards have a unit contribution margin of $720.The demand for Regulars exceeds Computer Products' production capacity,which is limited by available machine-hours and direct manufacturing labour hours.The maximum demand for Special keyboards is 80 per month.Management desires a product mix that will maximize the contribution toward fixed costs and profits.Direct manufacturing labour is limited to 1,600 hours a month and machine hours are limited to 1,200 a month.The Regular keyboards require 20 hours of labour and 8 machine hours.Special keyboards require 34 labour hours and 20 machine hours.
Select the appropriate linear programming objective and constraint functions designed to maximize Computer Products total contribution margin.Let R represent Regular keyboards and S represent Special keyboards.

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Definitions:

Generic Marketing Plan

A broad, adaptable marketing strategy framework that can be customized and applied to various types of products, services, or market conditions.

Stakeholders

Individuals or groups with an interest in or impact upon the performance and decisions of an organization, including employees, customers, shareholders, and communities.

Marketing Plan

A comprehensive document or blueprint that outlines a company’s advertising and marketing efforts for a specific period.

Financial Investment

The action of allocating resources, usually money, with the expectation of generating an income or profit in the future.