Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA PM Exams › iso contribution line
- This topic has 5 replies, 2 voices, and was last updated 3 years ago by John Moffat.
- AuthorPosts
- January 20, 2021 at 5:26 pm #607331
Question :
An organisation is experiencing a shortage of resources and has graphed a potential linear programing solution which shows its first product, televisions, on the horizontal axis and its other product, tablet, on vertical axis.
The iso contribution line is flat and downward sloping.Options :
A) The contribution per unit for tablets is higher than that for televisions
B) The contribution per unit for televisions is higher than that for tablets
C) the contribution for each product is similar
D) the contribution for one product is negativethe answer is A, can you explain why?
Is it because that the iso contribution line will touch the point on Y axis (tablets) first, when brought further from from origin?
January 21, 2021 at 9:00 am #607399Where did you find this question?
The reason I ask is that if you have copied it correctly then the question is nonsense.The iso-contribution line cannot be both flat and downward sloping.
Also, whichever contribution per unit is higher, the iso-contribution line will always be downward sloping! It will be at a steeper angle is televisions give a higher contribution that tablets, and a less steep angle if tablets give a higher contribution that televisions.
Have you watched my free lectures on linear programming.
January 22, 2021 at 6:01 pm #607590This question is from kaplan exam kit. I checked the question, I have copied it correctly.
January 23, 2021 at 9:39 am #607627In that case there is a mistake in your exam kit because my previous reply is correct 🙂
(Have you check on the Kaplan website to see if there is an errata (correction) sheet for the exam kit?)
January 27, 2021 at 4:08 pm #608258No sir, I haven’t checked. Thank you for suggesting. I will do that.
January 28, 2021 at 8:59 am #608311You are welcome 🙂
- AuthorPosts
- The topic ‘iso contribution line’ is closed to new replies.