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a company manufactures and sells two products (A and B).
product A – labour hours per unit is 5, material per unit is 6, contribution per unit $8
product B – labour hours per unit is 10, material per unit is 10, contribution per unit $14maximum of 245 labour hours are available each week. Maximum amount of material available each week is 360 kg.
what is the limiting factor and which product should be manufactured first?
There is no point in simply setting a test question in this forum and expecting a full answer!!!
You must have an answer in the same book in which you found the question (if you do not then you are using the wrong book – you should be using a Revision Kit from one of the ACCA approved publishers. They have exam standard questions together with answers and explanations.
You should use this forum to ask about which bit of the answers you are not clear about.
I assume you have watched my free lectures on this? The lectures are a complete free course for Paper F5 and cover everything needed to be able to pass the exam well.
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