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True or False
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1.
Variations in the product mix can influence effective capacity.
A)True
B)False
2.
Capacity is the upper limit on the rate of output.
A)True
B)False
3.
Demand management can sometimes offset capacity limitations.
A)True
B)False
4.
Cost-volume analysis does not consider when in time the breakeven point is achieved.
A)True
B)False
5.
As the ratio of actual output to design capacity increases, utilization decreases.
A)True
B)False
6.
Mature products and services tend to have more predictable capacity requirements than new products or services.
A)True
B)False
7.
It is more important for service capacity to match demand requirements than for goods capacity to match demand requirements.
A)True
B)False
8.
The efficiency of the plant increases as effective capacity increases.
A)True
B)False





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