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True/False Quiz
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1

Our estimates regarding short-run variations in demand can influence our desired design capacity.
A)True
B)False
2

Design capacity is just another term used to indicate effective capacity.
A)True
B)False
3

Peak loads and seasonal requirements affect design capacity planning, as well as effective capacity and actual output.
A)True
B)False
4

The efficiency of our operations will increase as the ratio of design capacity to actual output increases (Design capacity divided by actual output).
A)True
B)False
5

Understanding and matching the timing of demand is more important when doing capacity planning for services than it is for capacity planning for manufacturing.
A)True
B)False
6

Demand management is a strategy that can be used to offset capacity limitations.
A)True
B)False





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