Explore BrainMass

Explore BrainMass

    CLO 9(c) Mighty Chocolate

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    36. Corresponds to CLO 9(c) Mighty Chocolate manufactures three chocolate bars; plain, almond and crispy. Because of their outstanding quality. Mighty can sell all of the bars they produce. Select (per gross) data follows.

    Plain Almond Crispy
    Selling Price $60 $40 $20
    Contribution Margin $30 $20 $10
    Molding Time Required 1.25 hrs 0.8 hrs 0.5 hrs

    Molding time is limited to 180 hours per month. If fixed cost per month are $2,000, what should Mighty do to maximize profit?

    © BrainMass Inc. brainmass.com June 4, 2020, 2:50 am ad1c9bdddf

    Solution Preview

    CM per Molding Time for Plain = 30/1.25 = $24
    CM per Molding Time ...

    Solution Summary

    The solution finds what should Mighty do to maximize profit.