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Line Balancing Strives to Create Workstations So That the Capacity

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True/False

Line balancing strives to create workstations so that the capacity utilization for the bottleneck is much higher than for the other workstations in the line.


Definitions:

Annual Demand

Annual demand quantifies the total quantity of a particular product or service that consumers are willing to buy over the course of a year.

Price Breaks

Discounts or lower pricing offered by suppliers to buyers as incentives for purchasing larger quantities.

Safety Stock

A quantity of inventory maintained to guard against shortages or delays in supply or demand, acting as a buffer.

Stockouts

Situations where demand cannot be fulfilled because the inventory of a product is exhausted, often resulting in lost sales or customer dissatisfaction.

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