Kuchler Corporation has four products that use the same constrained resource. Data concerning those products appear below: The company does not have enough of the constrained resource to satisfy for demand of all four products.
-If salespersons are paid commissions that are a set percentage of sales, which product would they prefer to sell? In other words, if it is a choice between selling one unit of one product and one unit of another, which product would they prefer to sell?
A) U300
B) U200
C) U100
D) U400

Question

Kuchler Corporation has four products that use the same constrained resource. Data concerning those products appear below:  The company does not have enough of the constrained resource to satisfy for demand of all four products.
-If salespersons are paid commissions that are a set percentage of sales, which product would they prefer to sell? In other words, if it is a choice between selling one unit of one product and one unit of another, which product would they prefer to sell?
A) U300 
B) U200 
C) U100 
D) U400

Quizplus · Accepted Answer

Salespersons would prefer to sell the product with the highest price, as their commission is a percentage of the sales price. Therefore, they would prefer to sell U400 if it has the highest price among the options.

Kuchler Corporation Has Four Products That Use the Same Constrained