the cases are listed below, choose two from them. detailed case file will be provided
Style Inc.
1. Analyze the custom tailoring industry in Canada. What implications can be drawn?
2. Analyze Style’s current operations. What implications can be drawn?
3. Calculate the unit contribution, total contribution, and contribution margin ratio for each of the
7 clothing lines. Do any product lines earn a contribution margin ratio lower than either the
company’s target contribution of 35% per clothing line or the annual total target contribution of
$25,000?
4. Should Style discontinue the lowest contribution margin product line? Or should Style increase
its retail selling price of this line? Explain.
Good Night Hotel:
1. Should Justin McGregor accept the offer to fill his motel for the two weekend nights in October
at half the room rate? Consider both qualitative and quantitative factors in your analysis.
Provide calculations to support your answer