You are a leader of a team that have expertise in advising organizations that are...
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You are a leader of a team that have expertise in advising organizations that are constrained in resources so as to maximize total contribution and hence, profit. Dee and Co Ltd makes two products, D and B Available labour hours for Dee and Co Ltd are limited to hours and units of the materials are failsafe. The individual product costs are as follows: Product D Product B GHS GHS Direct materials Direct labour Variable overhead Material and labour required: Direct material required per unit Direct labour hours required The selling price per unit is GHS per product D and GHS for product B Sales demand in July is expected to be as follows: Product D units Product B units Required: Your team is to advise the management of Dee and Co Ltd on the most profitable production mix and ascertain the most optimal profit expectation if the fixed cost for the month is GHS
You are a leader of a team that have expertise in advising organizations that are constrained in resources so as to maximize total contribution and hence, profit.
Dee and Co Ltd makes two products, D and B Available labour hours for Dee and Co Ltd are limited to hours and units of the materials are failsafe. The individual product costs are as follows:
Product D Product B
GHS GHS
Direct materials
Direct labour
Variable overhead
Material and labour required:
Direct material required per unit
Direct labour hours required
The selling price per unit is GHS per product D and GHS for product B
Sales demand in July is expected to be as follows:
Product D units
Product B units
Required:
Your team is to advise the management of Dee and Co Ltd on the most profitable production mix and ascertain the most optimal profit expectation if the fixed cost for the month is GHS
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