The same constrained resource is used by four different products at Porraz Corporation. Data concerning those products appear below: The company does not have enough of the constrained resource to satisfy for demand of all four products.
-From the standpoint of the entire company, if it is a choice between sales of one unit of one product versus another, which product should the salespersons emphasize?
A) Y200
B) Y300
C) Y100
D) Y400

Question

The same constrained resource is used by four different products at Porraz Corporation. Data concerning those products appear below:  The company does not have enough of the constrained resource to satisfy for demand of all four products.
-From the standpoint of the entire company, if it is a choice between sales of one unit of one product versus another, which product should the salespersons emphasize?
A) Y200 
B) Y300 
C) Y100 
D) Y400

Quizplus · Accepted Answer

Y200 has the highest contribution margin per unit.

The Same Constrained Resource Is Used by Four Different Products