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Define the resources over and under capacity.
The resources over and under capacity:
a. Over capacity: it is also called as spare capacity resources for example, staff and machines are not being totally utilised (as idle) and not operating at complete capacity.
b. Under capacity, there customer demand is higher than the maximum capacity or supply the organisation can fulfil for example, full order book, waiting lists and customer queuing.
Explain Fixed Cost. Fixed Cost: Cost may be described as the amount of expenditure incurred on, or attributable to a specified thing. Fixed costs are those costs that tend t
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how to calculae idle time if 8hours shift and cycle time 8 the quantity produed is 40
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