Wendy’s Wind Toys manufactures decorative kites, banners, and windsocks. During

Question

Wendy’s Wind Toys manufactures decorative kites, banners, and windsocks. During the month of January, Wendy received orders for 5,000 Valentine’s Day banners and 1,400 Easter kites. Because several sewing machines are in the shop for repairs, Wendy’s has only 1,100 sewing machine hours available for production of these orders. Each Valentine’s Day banner sells for $12. The banners take one hour to sew and have a total variable cost of $10 per banner. The Easter kites sell for $15. They take 15 minutes to sew and have a total variable cost of $14.

(1) With only 1,100 sewing machine hours available, how many units will Wendy be able to produce for the below items?

Kites-

banners-

Explanation / Answer

Solutino.

Calculation for noumber of unit of production.

Order Unit Sale price Hour V.C C.M Banners    5,000              12.00                1.00              10.00                2.00 Easter kites    1,400              15.00                0.15              14.00                1.00

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