What are the implications for utilization if the maximum capacity is increased,and everything else remains constant?
A)Utilization will stay the same
B)Utilization will increase
C)Utilization will decrease
D)Utilization will vary randomly
E)None of these options

Question

Quizplus · Accepted Answer

When the maximum capacity is increased while everything else remains constant, utilization (the ratio of used capacity to available capacity) will decrease because there is now more capacity available than before, but the amount being used remains the same.

What Are the Implications for Utilization If the Maximum Capacity