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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA PM Exams › Key-Factor Analysis.
Sir, If 7250hrs a week is the limiting factor a week isn’t it 29,000 a month
And thus can’t we simply meet all the demand since monthly demand for
S:O:C = 4k : 4.5k : 1.8k
Given that Labour hrs for each unit would be S:O:C= 0.5 : 0.6 : 2?
How is A right answer?
It would have been better if the question has said ‘what is the production plan per week that would maximise the profit over the next month’. Everything would then be correct.
(The labour hours per unit for Opal are not 0.6. They are 1.5 hours per unit.)
Okay sir, Fair enough!
(Yeah it’s 1.5, computational error.)
You are welcome 🙂