A. True B. False 3. Design capacity is not the same as effective capacity. A. True B. False 4. Peak loads and seasonal requirements affect design capacity planning, as well as effective capacity and actual output. A. True B. False 5.
Plant efficiency increases as the ratio of design capacity to actual output increases.
A. True B. False 6. A job shop is similar to a batch production plant in that both may produce products or services to meet the customers' specifications. A. True B. False 7. Efficiency, in capacity terms, is the ratio of. A. actual output to effective capacity.