Question: (a) Explain the term limiting factor in a production strategy and give four (4) examples.(2 marks)(b) Xexe Ltd produces 4 products and is planning its
(a) Explain the term limiting factor in a production strategy and give four (4) examples.(2 marks)(b) Xexe Ltd produces 4 products and is planning its production mix for the next period. Estimatedcost, sales and production data are shown below:A B C DSelling price/unit GHCMaterials @ GHC4/kgDirect labour @ GHC2/hr50126703648020141002410 Maximum demand (Units) 3,000 3,000 3,000 3,000Required:(i) Assuming labour hours is a limiting factor in the period, advise management on the mostappropriate mix if labour hours is limited to 45,000 hours. (5 marks)(ii) Assuming, materials is a limiting factor in the period, advise management on the mostappropriate mix if materials is limited to 55,000 kgs in the period. (7 marks)(c) State and explain four (4) factors which should be considered when designing incentiveschemes. (6 marks)
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