Brown Corporation Makes Four Products in a Single Facility

question 179

Multiple Choice

Brown Corporation makes four products in a single facility. These products have the following unit product costs:

Additional data concerning these products are listed below.

The grinding machines are potentially the constraint in the production facility. A total of 10,500 minutes are available per month on these machines.
Direct labor is a variable cost in this company.


-How many minutes of grinding machine time would be required to satisfy demand for all four products?

• A)10,500
• B)10,700
• C)11,000
• D)10,800

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