A Common Method(s) Used to Increase Capacity with a Lag

question 32

Multiple Choice

A common method(s) used to increase capacity with a lag strategy is/are

• A) overtime and subcontractors.
• B) subcontractors and new facilities.
• C) new facilities and new machinery.
• D) new machinery and overtime.
• E) turning away customers.

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Definitions:

Product

Anything that can be offered to a market to satisfy a want or need, including physical goods, services, experiences, events, persons, places, properties, organizations, information, and ideas.

Total Revenues

The total income generated from the sale of goods or services before any costs are subtracted.

Total Revenue

Total Revenue is the entire amount of money earned by a firm from the sale of its goods or services before any costs or expenses are deducted.

Purely Competitive Firm

A business that operates in a market where there are many sellers and buyers, the product is homogeneous, and there is free entry and exit from the market.