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Free - response question F is based on the following information: Flying that produces parachutes. Flying Dog follows the Theory of Constraints management philosophy. The

Free-response question F is based on the following information: Flying
that produces parachutes. Flying Dog follows the Theory of Constraints management philosophy. The company has three production departments: Assembly, Testing, and Shipping.
Production runs 2,080 hours per year (you can also think of it as 124,800 minutes per year if you prefer). Flying Dog currently produces 5,200 parachutes per year. Production capacity in each department is given below.
\table[[Assembly Department,Testing Department,Shipping Department],[5,200 parachutes per year,10,400 parachutes per year,12,480 parachutes per year]]
Each parachute sells for $450. Each parachute requires cloth for the canopy and thread for the suspension lines. Cloth costs $100 per parachute. Thread costs $120 per parachute.
Would Flying Dog benefit from a $200,000 annual investment in a machine that decreases the production time of the Assembly Department by four minutes per parachute? (note that the time per parachute in the Assembly Department is currently 24 minutes). Supporty
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