Suppose a Jar of DeLux Popcorn That Is Ultimately Sold

question 151

Multiple Choice

Suppose a jar of DeLux popcorn that is ultimately sold to a customer at Friendly Groceries is produced by the following production process:  
$$\begin{array} { | l | c | c | } \hline { \text { Name of Campany } } & \text { Revenues } & \text { Cast af Pur chased Inguts } \\\hline \text { Fulton Farrily Farm } & \$ 0.50 & \mathbf { 0 } \\\hline \text { DeLux Popconl Co. } & \$ 2.50 & \$ 0.50 \\\hline \text { Friendly Groceries } & \$ 4.00 & \$ 2.50\end{array}$$  
What is the sum of the value added of all of the firms?

• A)$3.00
• B)$4.00
• C)$6.50
• D)$7.00

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Definitions:

Extra Capacity

Additional production or service ability that exceeds normal operations requirements.

Late Night Shift

A work shift that takes place during the late evening to early morning hours, often outside standard business hours.

Minimum Requirements

The least or lowest acceptable standards or quantities needed to achieve a specific goal or function.

FCFS

First Come, First Served, a method of service or resource allocation where requests are processed in the order that they were received.