Garwood Corporation's Two Products Have the Following Characteristics: the Constrained

question 44

Multiple Choice

Garwood Corporation's two products have the following characteristics: The constrained resource is a particular machine that is available for 10,100 minutes each month. Each unit of product K56J requires 10 minutes on this machine and each unit of product L72D requires 6 minutes on this machine.
-The company is considering launching a new product that would have a variable cost of $51.00 per unit.It would require 14 minutes of the constrained resource.The absolute minimum acceptable selling price for the new product should be:

• A)$51.00
• B)$54.40
• C)$118.20
• D)$98.60

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Definitions:

Sit-down Strike

A form of protest where workers physically occupy their workplace but refuse to work, aiming to halt production.

General Motors

A multinational corporation headquartered in the United States that designs, manufactures, markets, and distributes vehicles and vehicle parts.

Pursuit of Happiness

A fundamental right mentioned in the Declaration of Independence to freely pursue joy and live life in a way that makes one happy, as long as one does not do anything illegal or violate the rights of others.