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True or False
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Please answer the following questions.



1

Variations in the product mix can influence effective capacity.
A)True
B)False
2

Capacity is the upper limit on the rate of output.
A)True
B)False
3

Demand management can sometimes offset capacity limitations.
A)True
B)False
4

Cost-volume analysis does not consider when in time the breakeven point is achieved.
A)True
B)False
5

As the ratio of actual output to design capacity increases, utilization decreases.
A)True
B)False
6

Mature products and services tend to have more predictable capacity requirements than new products or services.
A)True
B)False
7

It is more important for service capacity to match demand requirements than for goods capacity to match demand requirements.
A)True
B)False
8

Plant efficiency increases as effective capacity increases.
A)True
B)False







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