Capacity Utilization Is Defined as the Ratio of

question 78

Multiple Choice

Capacity utilization is defined as the ratio of

• A)actual output to actual capacity.
• B)actual output to design capacity.
• C)design capacity to actual capacity.
• D)actual capacity to actual output.

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Definitions:

Voucher

A document that acts as evidence of a financial transaction, authorizing payment or receipt of money.

Accounts Payable

Financial obligations or debts owed by a business to its suppliers or creditors for goods and services received.

Cash Payments Journal

An accounting journal used to record all cash payments, including expenses and creditor payments.

Check Register

A record kept to track written checks, deposits, and withdrawals in a checking account, aiding in account reconciliation and financial management.