Multiple Choice
Garwood Corporation's two products have the following characteristics: The constrained resource is a particular machine that is available for 10,100 minutes each month. Each unit of product K56J requires 10 minutes on this machine and each unit of product L72D requires 6 minutes on this machine.
-The company is considering launching a new product that would have a variable cost of $51.00 per unit.It would require 14 minutes of the constrained resource.The absolute minimum acceptable selling price for the new product should be:
A) $51.00
B) $54.40
C) $118.20
D) $98.60
Correct Answer:

Verified
Correct Answer:
Verified
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