Havasu Off-Road Inc. manufactures and sells a variety of commercial vehicles in the Northeast and Southwest regions. There are two salespersons assigned to each territory. Higher commission rates go to the most experienced salespersons. The following sales statistics are available for each salesperson: Northeast Southwest
Rene Steve Colleen Paul
Average per unit:
Sales price $15,500 $16,000 $14,000 $18,000
Variable cost of goods sold $9,300 $8,000 $8,400 $9,000
Commission rate 8% 12% 10% 8%
Units sold 36 24 40 60
Manufacturing margin ratio 40% 50% 40% 50%

Required:
a. Prepare a contribution margin by salesperson report. Calculate the contribution margin ratio for each salesperson.
b. Prepare a contribution margin by territory report. Calculate the contribution margin for each territory, rounded to one decimal place.

Cadbury has a chocolate factory in dunedin, new zealand. for easter, it makes two kinds of “easter eggs”: milk chocolate and dark chocolate. it cycles between producing milk and dark chocolate eggs. the table below provides data on these two products. demand (lbs per hour) milk: 500 dark: 200 switchover time (minutes) milk: 60 dark: 30 production rate per hour milk: 800 dark: 800 for example, it takes 30 minutes to switch production from milk to dark chocolate. demand for milk chocolate is higher (500lbs per hour versus 200 lbs per hour), but the line produces them at the same rate (when operating): 800 lbs per hour. a : suppose cadbury produces 2,334lbs milk chocolate and 1,652 lbs of dark chocolate in each cycle. what would be the maximum inventory (lbs) of milk chocolate? b : how many lbs of milk and dark chocolate should be produced with each cycle so as to satisfy demand while minimizing inventory?