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A Work Center's Demonstrated Capacity for the Last Week Was

Question 258

Multiple Choice

A work center's demonstrated capacity for the last week was 160 standard hours. Its demonstrated capacity for the last 6 weeks was 140 standard hours. Which of the following numbers would be best to use to determine the appropriate future load for the work center?


A) 160 standard hours, because it reflects what the work center has proven it can do
B) 160 standard hours, because it reflects what happened most recently
C) 150 standard hours, because it is the average of the last two periods
D) 140 standard hours, because it is based on a greater number of periods

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