Sir, if we reduce machine time per unit, I think throughput per machine hour will increase,and factory cost per hour will remain unchanged as total machine time available is unchanged.
But ,according to BPP , below answer is correct, I’m confused, plz help,,thanks a lot!
Q: when machine time is a binding constraint on production output, which one of the following will have no effect on the TA ratio?
A: Reducing the machine time per unit to make the product.