Question
A plant has one binding bottleneck: a heat-treating oven
(hours limited). Product P and Q both consume oven time; material is the only truly variable cost in the short run. P has higher gross margin per unit, but lower throughput per bottleneck hour than Q. Demand for both exceeds capacity; fixed costs are committed. Which production plan maximizes short-run profit?Solution
In throughput accounting with a single binding bottleneck, rank products by throughput per bottleneck hour (sales – truly variable costs per hour). With excess demand and fixed costs committed, prioritize Q if it yields higher throughput per constrained hour.
Two statements are given, followed by two conclusions numbered I and II. Assuming the statements to be true, even if they seem to be at a variance with...
In the questions given below, there are three statements followed by three conclusions I, II and III. You have to take the three given statements to be...
- Statements:
Only a few device is system
Mostly system is tablet
Conclusions:
I. All device can be system
II. Few ta... Three statements are given, followed by two conclusions numbered I and II. Assuming the statements to be true, even if they seem to be at variance wit...
Statement : Only a few White is Blue
Only a few Blue is Red
All Red is black
Conclusion
I. All Blue being black is a poss...
Read the given statements and conclusions carefully. Assuming that the information given in the statements is true, even if it appears to be at varianc...
Statements:
Only White are Grey
No Blue are Black
All Blue are White
Conclusion:
I. Some Blue can be Grey
In the question below some statements are given followed by three conclusions I, II, and III. You have to take the given statements to be true even if ...
- Read the given statements and conclusions carefully. Assuming that the information given in the statements is true, even if it appears to be at variance wi...
Statement: All fruits are vegetables
                             Some vegetables are potatoes
    ...
