Significance of capacity decisions


Q1. As part of pa strategy for enhancing competitiveness, a manager might have to initially sacrifice:

a) Research and development
b) Short-term performance
c) Employee pay rises
d) Product or service quality
e) All of the above

Q2. The kind of processing which is used for highly standardized products is:

a) Continuous
b) Intermittent
c) Project
d) Batch
e) Mass

Q3. A reason for the significance of capacity decisions is that capacity:

a) Limits the rate of output possible
b) Influences operating costs.
c) Is a main determinant of the initial costs.
d) Is a long-term commitment of resources.
e) All of the above.

Q4. In which kind of processing system would sugar refining be finished?

a) Job shop
b) Batch
c) Assembly
d) Continuous
e) Project

Q5. Which of the given is not an essential supposition in order for a linear programming model to be used efficiently?

a) Linearity
b) Exponentially
c) Divisibility
d) Certainty
e) Non-negativity

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Business Management: Significance of capacity decisions
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