Holden Corporation produces three products, with costs and selling prices as follows: A particular machine is the bottleneck. On that machine, 3 machine hours are required to produce each unit of Product A, 1 hour is required to produce each unit of Product B, and 2 hours are required to produce each unit of Product C. Rank the products from the most profitable to the least profitable use of the constrained resource (bottleneck). (Round your intermediate calculations to 2 decimal places.)
A) C, A, B
B) A, C, B
C) B, C, A
D) B, A, C

Question

Holden Corporation produces three products, with costs and selling prices as follows:  A particular machine is the bottleneck. On that machine, 3 machine hours are required to produce each unit of Product A, 1 hour is required to produce each unit of Product B, and 2 hours are required to produce each unit of Product C. Rank the products from the most profitable to the least profitable use of the constrained resource (bottleneck). (Round your intermediate calculations to 2 decimal places.)
A) C, A, B 
B) A, C, B 
C) B, C, A 
D) B, A, C

Quizplus · Accepted Answer

The Answer of Holden Corporation produces three products, with costs and selling prices as follows:  A particular machine is the bottleneck. On that machine, 3 machine hours are required to produce each unit of Product A, 1 hour is required to produce each unit of Product B, and 2 hours are required to produce each unit of Product C. Rank the products from the most profitable to the least profitable use of the constrained resource (bottleneck). (Round your intermediate calculations to 2 decimal places.)
A) C, A, B 
B) A, C, B 
C) B, C, A 
D) B, A, C

Holden Corporation Produces Three Products, with Costs and Selling Prices