Which Is Not True About Long-Term Capacity

question 16

Multiple Choice

Which is not true about long-term capacity?

• A)Excess capacity can serve as a barrier to entry for other companies.
• B)Capacity may be difficult and costly to modify.
• C)Exceeding capacity minimizes operating costs.
• D)Capacity affects the ability to satisfy customer's demand.
• E)Capacity is usually a major determinant of initial capital costs.

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Definitions:

Hamburgers

A popular food item consisting of a cooked patty of ground meat, usually beef, placed inside a sliced bread bun.

Complements

Goods or services that increase the usability or desirability of another product or service when used in conjunction, leading to a demand relationship.

French Fries

Sliced potatoes that are deep-fried and commonly served as a side dish or snack, known for their crispy exterior and soft interior.

Hamburgers

A popular food item typically consisting of a ground meat patty placed inside a bun, often served with various condiments and toppings.