What is a production constraint?
A) The point in the manufacturing process where the demand for the company's products exceeds its ability to produce the products
B) A manufacturing strategy used to reduce production cost by eliminating waste of inventory
C) A manufacturing strategy that focuses on increasing the influence of constraints on production processes
D) The point in the manufacturing process where total variable costs and total fixed costs equals total revenues

Question

Quizplus · Accepted Answer

A production constraint refers to the point in the manufacturing process where the demand for the company's products exceeds its ability to produce the products, resulting in a bottleneck in the production process. This constraint can limit the output of the entire system, and it can impact the company's overall profitability if not addressed promptly.

What Is a Production Constraint