Famous Face Dolls Company manufactures and sells custom dolls through a network of specialty stores....

50.1K

Verified Solution

Question

Accounting

image
Famous Face Dolls Company manufactures and sells custom dolls through a network of specialty stores. The face of each doll is hand-painted by a highly skilled craftsperson in the image of a popular public figure. Large dolls (7580cm) sell for $200 each and have a unit variable cost of $90. Each large doll requires 30 minutes of painting time. Small dolls (4045cm) sell for $100 and have a unit variable cost of $65.00. Each small doll requires 15 minutes of painting time. TYpical demand is 150 large dolls and 500 small dolls per month. Due to upcoming vacations, the amount of available face-painting time is limited to 180 hours for the next month. The contribution margin per hour of painting time is: a. $1.67/ hour for large dolls and $7.69 /hour for small dolls b. $290/ hour for large dolls and $165/ hour for small dolls c. $220 /hour for large dolls and $140/ hour for small dolls d. $110/ hour for large dolls and $35/ hour for small dolls

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students