Which of the Following Is an Example of Utilizing Capacity

question 60

Multiple Choice

Which of the following is an example of utilizing capacity effectively?

• A)Building a plant large enough so that production can be increased as demand increases.
• B)Hiring extra temporary employees to work extended hours during Christmas season at a retail store.
• C)Having all employees of a donut shop work a regular 8-hour shift every day.
• D)A caterer having a limited number of chefs working during the week and on weekends.
• E)An airline selling 20% more tickets for a flight than their airplane has available seats.

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Definitions:

Agricultural Products

Goods derived from farming and agriculture, including crops, livestock, and other raw materials.

Demand Elasticity

A measure of how much the quantity demanded of a good responds to a change in the price of that good, indicating consumers' sensitivity to price changes.

Farm Production

The process and output involved in the cultivation of crops and the rearing of livestock for economic purposes.

Conservation Reserve Program

A land conservation program initiated by the U.S. government to improve water quality, prevent soil erosion, and enhance habitats for endangered and threatened species.