I'm stuck with this problem CoursHeroTranscribedText: Required information [The foii'owing information applies to the questions...

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Accounting

I'm stuck with this problem

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CoursHeroTranscribedText: Required information [The foii'owing information applies to the questions dispi'ayed beiowj Clarke Corporation manufactures three products (X1, XZ, and XE) utilizing, in one ofthe processes, a single machine for all products. Data on the individual products follow. X-l 1-2 X-3 Price per unit $ 100 $ 200 $ 4-00 Variable cost per unit $ 50 $ 120 $ 240 Machine hours per unit 1.0 2.5 4.0 Maximum units demand per period 300,000 150,000 20,000 The single machine used for all three products has a maximum capacity of 500,000 hours per period. Required: a. How many units of each product should be produced each period? b. A local engineering rm has suggested to Clarke that it might be able to increase the capacity on the machine. What is the maximum Clarke would be willing to pay for an increase of twenty {20] machine hours? 1:. Suppose the maximum capacity on the machine was 300,000 hours (instead of 500,000 hours). What is the maximum Clarke would be willing to pay for an increase of twenty {20] machine hours? d. At what caoacitv {in machine hoursi would the machine no lonoer be a bottleneck

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