1. As best as you can determine, when planning or analyzing capacity planning systems, safety capacity is intended for all of the following except:
a. power outages
b. equipment breakdowns
c. diseconomies of scale
d. material shortages
e. seasonal demand
2. Unlike a focused factory, an unfocused factory is best characterized by:
a. a few key products.
b. particular market segments.
c. identical people skills.
d. dissimilar product lines.
e. precise resource utilization over time.
3. By definition, when the average unit cost of a good or service decreases as the capacity and/or volume of throughput increases, it is called ______.
a. Economies of scale
b. Diseconomies of scale
c. The Principle of Cost Cushioning
d. A nonphysical constraint
e. None of the above