Theory of Constraint - Managerial Accounting

The video tutorial explains decision-making in manufacturing using the theory of constraints. It highlights the importance of maximizing contribution margin per unit of constrained resource. An example scenario is provided where a company must fulfill product orders with limited machine hours. The tutorial guides viewers through calculating contribution margins and determining the optimal production order to efficiently use resources and meet customer demand.

What new insight or understanding did you gain from this video?

Evaluate responses using AI:

OFF