Capacity Management Is One of the Ways to Meet Potential

question 9

Multiple Choice

Capacity management is one of the ways to meet potential problems related to the ________ characteristic of services.

• A) intangibility
• B) perishability
• C) variability
• D) inseparability
• E) responsiveness

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Definitions:

Production Budget

A financial plan that estimates the number of units that must be produced within a specific period to meet anticipated sales demands and maintain inventory levels.

Sales Forecast

An estimate of the amount of goods or services a company expects to sell in a future period.

Activity Index

A measure used to estimate the level of activity or volume of production that affects costs in variable costing.

Budgeting Faculty Positions

The process of planning and allocating financial resources for academic staff positions within educational institutions.