The constraint at NUBD Corporation is time on a particular machine. The company makes three products that use this machine. Data concerning those products appear below: Selling price per unit Variable cost per unit Minutes on the constraint A1 P344.50 P270.10 5.00 B2 P415.40 P310.88 6.70 C3 P119.32 P91.96 1.90

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Assume that sufficient time is available on the constrained machine to satisfy demand for all but the least profitable product. Up to how much should the company be willing to pay to acquire more of this constrained resource?

 
The constraint at NUBD Corporation is time on a particular machine. The company
makes three products that use this machine. Data concerning those products appear
below:
A1
P344.50
P270.10
5.00
B2
P415.40
Selling price per unit
Variable cost per unit.
Minutes on the constraint
C3
P119.32
P91.96
1.90
P310.88
6.70
Transcribed Image Text:The constraint at NUBD Corporation is time on a particular machine. The company makes three products that use this machine. Data concerning those products appear below: A1 P344.50 P270.10 5.00 B2 P415.40 Selling price per unit Variable cost per unit. Minutes on the constraint C3 P119.32 P91.96 1.90 P310.88 6.70
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