The Opportunity Cost of Using One Unit of the Constrained

question 9

Multiple Choice

The opportunity cost of using one unit of the constrained resource in a volume trade-off decision is equal to:

• A)the profitability index for the company's most profitable existing product.
• B)the profitability index for the company's least profitable product-even if none of the product is currently being made.
• C)the profitability index for the product whose production would be cut back if necessary.
• D)the profitability index of the product with the greatest sales.

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Definitions:

Instantaneous Peak Value

The highest absolute value of a varying quantity (voltage or current) at a given instant.

Triplens

Harmonics in an electrical system that are multiples of the third harmonic (e.g., 3rd, 9th, 15th), often causing additional heating in neutral wires.

Sequence

The order in which events, movements, or things follow each other or are arranged serially.

Transformer

An electrical device that transfers electrical energy between two or more circuits through electromagnetic induction, typically changing the voltage and current levels.