C215 - Chapter 9 - Capacity Planning
Questions with complete solution
2026
Capacity Planning - correct answer ✔Process of establishing the output rate that can be achieved by a
facility. demand must be accurately forecasted
Design Capacity - correct answer ✔The maximum output rate that can be achieved by a facility under
ideal conditions
Effective Capacity - correct answer ✔the maximum output rate that can be sustained under normal
conditions
Steps in Capacity Planning and Location Analysis - Identify Capacity Requirements - correct answer
✔1st step of the Capacity Planning - identify the capacity needs and in the future
Steps in Capacity Planning and Location Analysis - Develop Capacity Alternatives - correct answer
✔2nd step in Capacity Planning - alternatives to meet capacity (outsourcing, etc.)
Steps in Capacity Planning and Location Analysis - Evaluate Capacity Alternatives - correct answer
✔3rd step in Capacity Planning - evaluate the select the alternatives correct for the company
Steps in selecting an ideal location - Proximity to sources of supply - correct answer ✔1st step of
selecting an ideal location - locating near the supply can mitigate the degration of quality of goods and
high transportation cost
Steps in selecting an ideal location - Proximity to customers - correct answer ✔2nd step of selecting an
ideal location - locating near markets the business serves
Questions with complete solution
2026
Capacity Planning - correct answer ✔Process of establishing the output rate that can be achieved by a
facility. demand must be accurately forecasted
Design Capacity - correct answer ✔The maximum output rate that can be achieved by a facility under
ideal conditions
Effective Capacity - correct answer ✔the maximum output rate that can be sustained under normal
conditions
Steps in Capacity Planning and Location Analysis - Identify Capacity Requirements - correct answer
✔1st step of the Capacity Planning - identify the capacity needs and in the future
Steps in Capacity Planning and Location Analysis - Develop Capacity Alternatives - correct answer
✔2nd step in Capacity Planning - alternatives to meet capacity (outsourcing, etc.)
Steps in Capacity Planning and Location Analysis - Evaluate Capacity Alternatives - correct answer
✔3rd step in Capacity Planning - evaluate the select the alternatives correct for the company
Steps in selecting an ideal location - Proximity to sources of supply - correct answer ✔1st step of
selecting an ideal location - locating near the supply can mitigate the degration of quality of goods and
high transportation cost
Steps in selecting an ideal location - Proximity to customers - correct answer ✔2nd step of selecting an
ideal location - locating near markets the business serves
