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An Automobile Defect Injures a Few People and Instead of Recalling

question 12

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An automobile defect injures a few people and instead of recalling the defected model, the company pays damages to the few injured people. This is an example of:


Definitions:

Units Produced

The quantity of finished goods that a production process creates over a specific time period.

Capacity Planning

The process of determining the production capacity needed by an organization to meet changing demands for its products.

Capacity Increment

The addition or increase in a system's or facility's ability to produce goods or services.

Fixed Costs

Expenses that do not change with the level of output or sales, such as rent, salaries, and insurance premiums.

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