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Question 3 (16 marks) Mr Bean Mart produces and sales four types of toys namely Blaze (B), Pinocchio (P), Paw Patrol (PP) and Scooby (S).
Question 3 (16 marks)
Mr Bean Mart produces and sales four types of toys namely Blaze (B), Pinocchio (P), Paw Patrol (PP) and
Scooby (S). Information relating to the production of these toys is given as follows:
B P PP S
Sales price/ unit N$200 N$250 N$180 N$400
Materials required per unit N$100 N$150 N$110 N$220
Direct labour (N$10 per hour) N$40 N$50 N$20 N$60
Variable cost per unit N$20 N$25 N$10 N$30
Monthly sales demand (Units) 500 800 1 000 400
There is a limit to the availability of labour and only 8 000 hours are available each month.
Requirement:
Determine the production mix that maximises throughput and calculate the resultant throughput of
your proposed production mix. (16 marks)
