3. The Beach Comber is a take-out food store at a popular Virginia Beach resort. Palatuna, owner of the Beach Comber, is deciding how much refrigerator space to devote to four different drinks. Data on these drinks are: V6 $19.20 Monster Punch Lemonade Sales price per $18.00 $26.40 $38.40 case Variable cost per $13.50 $15.20 $20.10 $30.20 case Cases sold per foot of shelf 25 24 4 5 space per day Sexton has a maximum front shelf space of 12 feet to devote to the four drinks. She wants a minimum of 1 foot and a maximum of 6 feet of front shelf space for each drink. What shelf space allocation (in feet) for Monster, V6, and Punch maximizes the daily contribution from drink sales, and what is the total contribution margin per day from that optimal shelf space allocation? LO
3. The Beach Comber is a take-out food store at a popular Virginia Beach resort. Palatuna, owner of the Beach Comber, is deciding how much refrigerator space to devote to four different drinks. Data on these drinks are: V6 $19.20 Monster Punch Lemonade Sales price per $18.00 $26.40 $38.40 case Variable cost per $13.50 $15.20 $20.10 $30.20 case Cases sold per foot of shelf 25 24 4 5 space per day Sexton has a maximum front shelf space of 12 feet to devote to the four drinks. She wants a minimum of 1 foot and a maximum of 6 feet of front shelf space for each drink. What shelf space allocation (in feet) for Monster, V6, and Punch maximizes the daily contribution from drink sales, and what is the total contribution margin per day from that optimal shelf space allocation? LO
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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For the Beach Comber problem, what shelf space allocation (in feet) for Monster, V6, and Punch maximizes the daily contribution from ALL drink sales, and what is the total contribution margin per day (rounded to the nearest dollar) from that optimal shelf space allocation? (Consider lemonade in solving the problem even though the question does not ask you to indicate how many feet of shelf space is allocated to lemonade in the optimal solution.) (Also, please enter numbers ONLY--for example, do not enter "$" or "feet")
Monster:
V6:
Punch:
Total CM/day:
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