Question: b. The profit with the bottleneck method advocated by Troy can be calculated as follows (enter the time at bottleneck as a whole number and

b. The profit with the bottleneck method advocated by Troy can be calculated as follows
(enter the time at bottleneck as a whole number and the profit margin per minute as a real number rounded to two decimal places):
c. Calculate the profit gain, both in absolute dollars as well as in terms of percentage gains, by using TOC principles for determining product mix.
labor costs per week are fixed. Variable overhead costs are $3,500/ week. The plant operates one 8-hour shift per day, or 40 hours/week. method for scheduling. He believes that profitability can indeed be improved if bottleneck resources are exploited to determine the product mix. a. What is the profit if the traditional contribution margin method is used for determining CKC's product mix? The profit with the traditional approach is $ (Enter your response rounded to the nearest whole number.)Step by Step Solution
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