If the Ability to Sell and the Amount of Production

question 32

True/False

If the ability to sell and the amount of production facilities devoted to each of two products is equal,it is profitable to increase the sales of that product with the highest contribution margin.

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Definitions:

SWOT Analysis

A strategic planning tool that assesses a company's strengths, weaknesses, opportunities, and threats.

Strength

An organization's capabilities or resources that give it an advantage in meeting the needs of its target markets.

Environmental Scanning

The process of systematically collecting information about external factors that could impact an organization's decision-making and strategic planning.

SWOT Analysis

A methodology for strategic planning that helps in recognizing and comprehending the strengths, weaknesses, opportunities, and threats associated with competing in business or planning a project.