This Question Is to Be Considered Independently of All Other

question 73

Multiple Choice

This question is to be considered independently of all other questions relating to Robledo Corporation. Refer to the original data when answering this question. Management is considering using a new component that would increase the unit variable cost by $3. Since the new component would increase the features of the company's product, the marketing manager predicts that monthly sales would increase by 400 units. What should be the overall effect on the company's monthly net operating income of this change?

• A)decrease of $30,800
• B)decrease of $3,800
• C)increase of $30,800
• D)increase of $3,800

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Definitions:

Resource Constraint

A limitation or restriction on the availability of resources, such as time, money, or materials, that affects the ability to achieve an objective.

Master Schedule

A comprehensive timeline that outlines the major components and milestones of a project.

Network Diagram

A visual representation of a project's tasks and their dependencies on one another, often used in project management.

Finish-Finish Relationship

A type of dependency in project management where one task cannot finish before another task finishes.