Diamond Plywood,Inc

question 61

Multiple Choice

Diamond Plywood,Inc.,manufactures four types of plywood panels.Each product must go through the following operations: patching,grading,gluing,and baking.The time in hours required for each operation for each panel,the total capacity available for each these operations in a given month,as well as the minimum production requirements and the profit contributions per panel are given in the following table.Based on this information,at the optimal production point what is the quantity of tropical plywood panels that Diamond Plywood will produce?

• A)850
• B)450
• C)350
• D)200

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Definitions:

Return On Investment (ROI)

A measure used to evaluate the efficiency or profitability of an investment, calculated by dividing the return of the investment by its cost.

Residual Income

The net income that an investment earns beyond the minimum rate of return.

Margin

Generally refers to the difference between the selling price and the cost of a product or service, often expressed as a percentage of the selling price.

Customer Service Department

A department in an organization responsible for managing questions, assisting customers with problems, and offering details about the company's products or services.