Simpkins Ltd is currently experiencing a shortage of skilled labour. In the coming quarter only 3,600 hours will be available for the production of the firm's three products for which details are shown below: Product X Y Selling price per unit Variable cost per unit Fixed cost per unit Skilled labour per unit Maximum quarterly demand £66 £100 £120 £42 £75 £90 £30 £34 £40 0.40 hours 0.50 hours 0.75 hours 5,000 5,000 2,000 The optimum production plan that will maximise profit for the quarter is: 0 X's 2,200 Y's and 200 Y's and (A) (В) (C) (D) 5,000 X's 5,000 X's 3,200 Y's and 9,000 X's 2,000 Z's 2,000 Z's 0 's O 's O Y's and

FINANCIAL ACCOUNTING
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Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Simpkins Ltd is currently experiencing a shortage of skilled labour. In the coming quarter
only 3,600 hours will be available for the production of the firm's three products for which
details are shown below:
Product
X
Y
Selling price per unit
Variable cost per unit
Fixed cost per unit
Skilled labour per unit
£66
£100
£120
£42
£75
£90
£30
£34
£40
0.40 hours
0.50 hours 0.75 hours
Maximum quarterly demand
5,000
5,000
2,000
The optimum production plan that will maximise profit for the quarter is:
0 X's
(A)
(В)
(C)
(D)
2,200 Y's
and
5,000 X's
5,000 X's 3,200 Y's
9,000 X's
2,000 Z's
2,000 Z's
0 Z's
0 Z's
200 Y's
and
and
O Y's
and
Transcribed Image Text:Simpkins Ltd is currently experiencing a shortage of skilled labour. In the coming quarter only 3,600 hours will be available for the production of the firm's three products for which details are shown below: Product X Y Selling price per unit Variable cost per unit Fixed cost per unit Skilled labour per unit £66 £100 £120 £42 £75 £90 £30 £34 £40 0.40 hours 0.50 hours 0.75 hours Maximum quarterly demand 5,000 5,000 2,000 The optimum production plan that will maximise profit for the quarter is: 0 X's (A) (В) (C) (D) 2,200 Y's and 5,000 X's 5,000 X's 3,200 Y's 9,000 X's 2,000 Z's 2,000 Z's 0 Z's 0 Z's 200 Y's and and O Y's and
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