Standards that can be achieved only under perfect operating conditions, such as no idle time, no machine breakdowns, and no materials spoilage, are called:
A) theoretical standards.
B) appropriate standards.
C) normal standards.
D) break-even standards.

Question

Quizplus · Accepted Answer

Theoretical standards are those that can only be achieved under perfect operating conditions, with no allowances made for any downtime, inefficiencies, or waste. They are idealistic and serve as a benchmark for what the organization could achieve in ideal circumstances.

Standards That Can Be Achieved Only Under Perfect Operating Conditions