Question

Given the following information, what would utilization be? Effective capacity is 20 units per day. Design capacity is 60 units per day. Actual output is 15 units per day.

Answer 1

Answer:

Utilization=25% or 1/4

Explanation:

Calculation for what would be the utilization

Using this formula

Utilization=Actual output /Design capacity *100

Let plug in the formula

Utilization=15 units per day/60 units per day*100

Utilization=0.25*100

Utilization=25% or 1/4

Therefore what would be the utilization is 25% or 1/4