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Motorsports, Inc

question 13

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Motorsports, Inc. builds two different types of motors. Model A has averaged 20,000 units annually, and Model B has average 30,000 units annually. The firm has historically used 80,000 direct labor hours and 10,000 hours of machine time per year to build Model A. Also, 150,000 annual direct labor hours have been allocated to Model B, along with 60,000 hours of annual machine time. What is the CPOPF planning factor for direct labor for Model B?

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Definitions:

Seed-Stage Financing

A stage of financing in which small or modest amounts of capital are provided to entrepreneurs to prove a concept.

Venture Capitalist

An investor who provides capital to startup companies and small businesses with perceived long-term growth potential in exchange for an equity stake.

Market Analysis

The study of the dynamics between potential customers and products to understand the needs and preferences of the target market, competition, and overall viability of a business strategy.

Due Diligence

The comprehensive appraisal of a business or investment opportunity to assess its commercial potential and risks.

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