Asked by Savannah Calkins on Jul 12, 2024

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The efficiency of a factory is 75% and its utilization 50%. If effective capacity is 1000 find design capacity.

Effective Capacity

The maximum output rate or service capacity an operation, process, or facility can be expected to achieve under normal conditions.

Design Capacity

The maximum output or performance level that a facility or product is engineered to achieve under ideal conditions.

  • Calculate the effective and design capacity of operations.
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Pravin SangaralingamJul 19, 2024
Final Answer :
Output = Efficiency ∗* Effective Capacity = Utilization ∗ Design Capacity. Solving gives .75(1000) = .50 (Design Capacity) Design Capacity = 1500