Which of the Following Best Describes a Plant Operating at Capacity

Multiple Choice

Which of the following best describes a plant operating at capacity?

A) Every machine and person in the plant is working at the maximum possible rate.
B) Only some specific machines or processes are operating at the maximum rate possible.
C) Fixed costs will need to change to accommodate increased demand.
D) Managers should produce those products with the highest contribution margin in order to deal with the constrained resource.