The level of operating capacity that is needed to meet expected sales demand is called
A) practical capacity.
B) normal capacity.
C) ideal capacity.
D) excess capacity.

Question

Quizplus · Accepted Answer

Normal capacity is the level of operating capacity needed to meet expected sales demand. Practical capacity is the maximum output that can be achieved within a certain period of time. Ideal capacity is the maximum output that can be achieved under ideal conditions. Excess capacity is the difference between actual output and normal capacity.

The Level of Operating Capacity That Is Needed to Meet