
Operations and Supply Chain Management 14th Edition by Robert Jacobs,Richard Chase
Edition 14ISBN: 978-0077535179
Operations and Supply Chain Management 14th Edition by Robert Jacobs,Richard Chase
Edition 14ISBN: 978-0077535179 Exercise 2
A facility has a maximum capacity of 4,000 units per day using overtime and skipping the daily maintenance routine. At 3,500 units per day, the facility operates at a level where average cost per unit is minimized. Currently, the process is scheduled to operate at a level of 3,000 units per day. What is the capacity utilization rate?
Explanation
Capacity utilization rate is a measure o...
Operations and Supply Chain Management 14th Edition by Robert Jacobs,Richard Chase
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