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Table 7.5 A Company Makes Four Products That Have the Following Characteristics

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Table 7.5
A company makes four products that have the following characteristics: Product A sells for $50 but needs $10 of materials and $15 of labor to produce;Product B sells for $75 but needs $30 of materials and $15 of labor to produce;Product C sells for $100 but needs $50 of materials and $30 of labor to produce;Product D sells for $150 but needs $75 of materials and $40 of labor to produce.The processing requirements for each product on each of the four machines are shown in the table. Table 7.5 A company makes four products that have the following characteristics: Product A sells for $50 but needs $10 of materials and $15 of labor to produce;Product B sells for $75 but needs $30 of materials and $15 of labor to produce;Product C sells for $100 but needs $50 of materials and $30 of labor to produce;Product D sells for $150 but needs $75 of materials and $40 of labor to produce.The processing requirements for each product on each of the four machines are shown in the table.   Work centers W,X,Y,and Z are available for 40 hours per week and have no setup time when switching between products.Market demand for each product is 80 units per week.In the questions that follow,the traditional method refers to maximizing the contribution margin per unit for each product,and the bottleneck method refers to maximizing the contribution margin per minute at the bottleneck for each product. -Use the information in Table 7.5.Using the bottleneck method,in what sequence should products be scheduled for production? A) D.C.B.A B) D,C,A,B C) C,D,A,B D) C,D,B,A Work centers W,X,Y,and Z are available for 40 hours per week and have no setup time when switching between products.Market demand for each product is 80 units per week.In the questions that follow,the traditional method refers to maximizing the contribution margin per unit for each product,and the bottleneck method refers to maximizing the contribution margin per minute at the bottleneck for each product.
-Use the information in Table 7.5.Using the bottleneck method,in what sequence should products be scheduled for production?


Definitions:

Routine Message

Regularly occurring communications that follow a standardized format or content, often used in organizational or professional contexts.

Indirect Approach

A communication method where the main point or message is not presented immediately but rather introduced through explanations or supporting details first.

Recommendation Sources

Refers to origins or providers from which suggestions or advice can be obtained, typically used in decision-making processes.

Sincere Apology

An honest expression of regret for wrongdoing, aiming to mend relationships and accept responsibility for actions.

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