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What Is the Shadow Price

Question 41

Multiple Choice

What is the shadow price?


A) the price that indicates the amount by which throughput will increase for one unit of unconstrained resource
B) the price paid on the black market for one unit of scarce resource
C) the price paid for a scarce resource from an external provider
D) the price that indicates the amount by which contribution margin will increase for one unit of scarce resource

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