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Which of the following is not a reason why capacity decisions are so important?

ID: 426180 • Letter: W

Question

Which of the following is not a reason why capacity decisions are so important?

Capacity affects operating costs.

Capacity is a major determinant of initial costs.

Capacity limits the rate of output possible.

Capacity is a long-term commitment of resources.

Capacity chunks can be added or deleted quickly and inexpensively.

A.

Capacity affects operating costs.

B.

Capacity is a major determinant of initial costs.

C.

Capacity limits the rate of output possible.

D.

Capacity is a long-term commitment of resources.

E.

Capacity chunks can be added or deleted quickly and inexpensively.

Explanation / Answer

reason- Capacity chunks can be added or deleted quickly and inexpensively.

reason- the capacity decisons are important because of the following reasons-

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