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Burrington Products Inc

question 4

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Burrington Products Inc. makes two products—Z74I and R53Y. Product Z74I's selling price is $102.00 and its unit variable cost is $71.40. Product R53Y's selling price is $432.00 and its unit variable cost is $302.40. The monthly demand is 2,500 units for product Z74I and 470 units for R53Y. The constrained resource is a particular machine that is available for 9,900 minutes each month. Each unit of product Z74I requires 3 minutes on this machine and each unit of product R53Y requires 16 minutes on this machine.
-The company is considering launching a new product that would have a variable cost of $160.00 per unit and no avoidable fixed costs.It would require 18 minutes of the constrained resource.The absolute minimum acceptable selling price for the new product should be:


Definitions:

Autoethnography

A form of qualitative research in which an author uses self-reflection and writing to explore their personal experience and connect this autobiographical story to wider cultural, political, and social meanings and understandings.

Celebratory Meal

A special meal prepared or consumed in honor of a particular event, achievement, or occasion.

Analyze

To methodically analyze something in-depth, usually to explain and interpret its aspects.

Ethnographers

Researchers who study cultures and social practices by immersing themselves in the community being studied, often through participant observation.

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