The rate of production the business was designed to accommodate on a long-term basis is referred to as:
A) Actual output
B) Effective capacity
C) Design capacity
D) Protective capacity
E) Overloading capacity

Question

Quizplus · Accepted Answer

Design capacity refers to the maximum output that a system or facility is constructed to handle under ideal conditions, aligning with the long-term goals of the business.

The Rate of Production the Business Was Designed to Accommodate