Business 9609 · AS & A Level · Investment appraisal

Investment appraisal — practice question

(a)[6]

Refer to Table 1 and the other information. Suppose Total Quality Management (TQM) is put into practice successfully. Calculate the:

  • capacity utilisation rate [3]
  • rise in contribution per unit. [3]
(b)[12]

Evaluate whether total quality management (TQM) is enough to solve FF’s production problems.

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