Modern Inc

question 62

Multiple Choice

Modern Inc.manufactures low-cost tables at a processing cost of $80 per table.The company produces 100 units per day and averages 90% good quality resulting in 10% defective items.Fifty percent of the defective units are reworked prior to shipment to Modern's distribution center.The rework cost is $10 per unit. If the percent good quality increases from 90% to 95%,the quality productivity ratio (QPR) is

• A)approximately 1.20.
• B)approximately 1.40.
• C)approximately 1.60.
• D)approximately 180.

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Definitions:

Civil War

An internal conflict within a country between opposing factions or regions.

Anaconda Plan

A Civil War strategy proposed by Union General Winfield Scott to blockade Southern ports and take control of the Mississippi River, essentially squeezing the Confederacy economically.

Contraband Of War

Goods that by law are forbidden to be supplied to a belligerent, especially items that could be used in armed conflict.