
Business Capacity and Utilization Concepts

Interactive Video
•
Business
•
9th - 12th Grade
•
Hard

Lucas Foster
FREE Resource
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10 questions
Show all answers
1.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What is business capacity primarily a measure of?
Customer satisfaction
Output
Input
Profit
2.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Which of the following is NOT a way to measure business capacity?
Number of cars produced per period
Number of employees hired per month
Number of customer calls handled per day
Number of customers served per hour
3.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What can cause a reduction in production line capacity?
Increased demand
Machine maintenance
Expanding the factory
Hiring more employees
4.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Why is it important for businesses to have flexible capacity?
To reduce costs
To improve product quality
To handle unexpected changes in demand
To increase employee satisfaction
5.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
How is capacity utilization calculated?
Total costs divided by actual output, multiplied by 100
Actual output divided by maximum possible output, multiplied by 100
Maximum possible output divided by actual output, multiplied by 100
Actual output divided by total costs, multiplied by 100
6.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What does low capacity utilization typically indicate?
High efficiency
Low unit costs
Idle resources
High demand
7.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Which of the following is a significant cost associated with capacity?
Production line equipment
Marketing expenses
Customer service
Research and development
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