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Bruce Corporation makes four products in a single facility. These products have the following unit product costs: The grinding machines are potentially the constraint in
Bruce Corporation makes four products in a single facility. These products have the following unit product costs:
The grinding machines are potentially the constraint in the production facility. A total of minutes are
available per month on these machines.
Direct labor is a variable cost in this company.
Up to how much should the company be willing to pay for one additional minute of grinding machine time if the
company has made the best use of the existing grinding machine capacity?
Note: Round your Intermedlate calculatlons to declmal ploces.
Multiple Choice
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