The basic trade-off to consider during overbooking is between
A)having wasted capacity (or inventory)or a shortage of capacity (or inventory).
B)having lost sales or a shortage of capacity (or inventory).
C)having wasted capacity (or inventory)or excess capacity (or inventory).
D)having high sales or a shortage of capacity (or inventory).

Question

Quizplus · Accepted Answer

The basic trade-off in overbooking is between having wasted capacity (or inventory) when not all booked customers show up, and facing a shortage of capacity (or inventory) when more customers than expected show up or all booked customers actually utilize the service or product. This involves balancing the risk of unused resources against the risk of not being able to meet demand.

The Basic Trade-Off to Consider During Overbooking Is Between