The Constraint at Rauchwerger Corporation Is Time on a Particular

question 379

Multiple Choice

The constraint at Rauchwerger Corporation is time on a particular machine. The company makes three products that use this machine. Data concerning those products appear below: 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 the constrained resource? (Round your intermediate calculations to 2 decimal places.)

• A) $33.28 per unit
• B) $10.40 per minute
• C) $122.12 per unit
• D) $15.30 per minute

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Definitions:

Internalize

The process of integrating beliefs, values, standards, or behaviors within oneself without external influence.

Prospective Buyers

Individuals or entities showing interest in purchasing a product or service, potentially becoming customers.

Product Feature

A characteristic or attribute of a product that is intended to offer value or solve a specific problem for the consumer.

Performance Characteristic

Features or aspects of a product or service that determine its ability to meet its intended function or user requirements.