Which One of the Following Statements About Measuring Capacity Is

question 112

Multiple Choice

Which one of the following statements about measuring capacity is best?

• A) A line flow process usually measures its capacity in terms of output rates.
• B) The utilization rate is expressed as the ratio of maximum output rate to capacity.
• C) Peak capacity is the output that a facility can sustain under normal conditions.
• D) The minimum output rate for a restaurant would be the number of seats.

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Definitions:

Majority Vote

A method of decision-making where the option that receives more than half of the votes wins.

Negative Externalities

Costs experienced by a third party not involved in a transaction, arising from production or consumption of goods and services.

Majority Voting

A decision-making process where the option that receives more than half of the votes cast by eligible voters is chosen.

Economic Efficiency

The optimal distribution of resources to maximize productivity and fulfill consumer preferences with minimal waste.