When There Is a Production Constraint, the Company Should First

question 12

Multiple Choice

When there is a production constraint, the company should first produce the product with:

• A)The highest contribution margin per unit
• B)The highest contribution margin ratio
• C)The highest revenue per unit
• D)The highest contribution margin per unit of the constrained resource

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Definitions:

Scatter Diagram

A graphical representation used to show the relationship between two quantitative variables.