Managers Use Capacity Planning to ________

question 48

Multiple Choice

Managers use capacity planning to ________.

• A) ensure that total inventory costs are minimized
• B) make decisions concerning how well a process is performing
• C) categorize items to produce a list of items that require the most control
• D) determine how much of a product or service a firm should be able to produce

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Definitions:

Inventory Period

The average time it takes for inventory to be sold and replaced during a given period.

Cash Disbursement

The payment of cash from a business or individual to settle obligations.

Cash Collection

The process of receiving and processing payments from customers or clients for goods or services rendered.

Restrictive Covenant

Clauses in contracts that restrict or limit one party from engaging in certain activities, often to protect business interests or property value.