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Fahringer Corporation makes three products that use compound W, the current cons

ID: 2545273 • Letter: F

Question

Fahringer Corporation makes three products that use compound W, the current constrained resource. Data concerning those products appear below BJ QR Selling price per unit Varlable cost per unit Centilters of compound W XS $104.97$52817 $558.11 $ 8203 $429.70 $420.00 2.00 9.50 9.70 Rank the products in order of their current profitablity from most profitable to least profitable. In other words, rank the products in the order in which they should be emphasized (Round your intermediate calculations to 2 decimal places) O OR BJXS BJ.QRXS O OR XS.BJ

Explanation / Answer

DATA GIVEN BJ XS QR Selling Price per Unit $                        104.97 $                     528.17 $        558.11 Less: Variable Cost $                          82.03 $                     429.70 $        420.00 Centilitties of Compound W $                            2.00 9,50 $             9.70 Ranking III II I RANKING THE PRODUCT IN ORDER OF THERE MOST PROFITABLE TO LEAST PROFITABLE QR XS BJ Selling Price per Unit $                        558.11 $                     528.17 $        104.97 Less: Variable Cost $                        420.00 $                     429.70 $          82.03 Centilitties of Compound W $                            9.70 9,50 $             2.00 Ranking I II III Answer = Option 4 = QR, XS, BJ