Ebright Corporation Would Like to Determine the Relative Profitability of the Company's

question 27

Multiple Choice

Ebright Corporation would like to determine the relative profitability of the company's products for purposes of making volume trade-off decisions. For example, the selling price of product H25Z is $50.00 and its unit variable cost is $30.00. One unit of the product requires 2 ounces of the constrained resource. Monthly sales are 6,300 units. What is the profitability index for product H25Z?

• A)$126,000
• B)$25.00 per ounce
• C)0.40
• D)$10.00 per ounce

---

Definitions:

Unmet Biological Needs

Basic physiological requirements including food, water, shelter, and warmth that are not adequately satisfied, impacting overall health and well-being.

Incentive

Something that motivates or encourages an individual to do something or to achieve a goal.

Environmental Stimulus

Any external event or factor that influences an organism's behavior or physiological responses.

Motivates Behavior

The underlying reasons or incentives that drive individuals to engage in certain actions or behaviors.