Vanstraten Corporation has provided the following data concerning its two products: The profitability index for product Z63Z is closest to:
A)$4.20 per gram
B)0.53
C)0.20
D)0.57

Question

Vanstraten Corporation has provided the following data concerning its two products:  The profitability index for product Z63Z is closest to:
A)$4.20 per gram 
B)0.53 
C)0.20 
D)0.57

Quizplus · Accepted Answer

Profitability Index = Incremental profit F1F1F1S1F1F1F10 Amount of constrained resource required = $67.20 F1F1F1S1F1F1F10 16 grams = $4.20 per gram

Vanstraten Corporation Has Provided the Following Data Concerning Its Two