Question

Use the data below to calculate efficiency and utilization: a. John's Car Repair service repairs an average of 6 cars every week. The design capacity of the shop is 18 repairs per week and the effective capacity is 16 repairs per week. (Round your answer to 1 decimal place. Omit the "%" sign in your response.) Utilization Efficiency b. The average output of a manufacturing process is 4 widgets per hour. The design capacity is 8 widgets per hour. The effective capacity is 7 widgets per hour. (Round your answer to 1 decimal place. Omit the "%" sign in your response.) Utilization C % Efficiency c. Does higher efficiency always goes along with higher utilization? Hint: this depends on design capacity This is not necessarily (Click to select) . If the design capacity is relatively (Click to select the utilization could be (Click to select) even though the efficiency was (Click to select)

Answer 1

bata from the given question © utilization = (actual output / Design capacity) x 100 where actuala output = 6 Design capacity = 18 = ( ) x 100 = 0.33 X 100 utilization - 33 % > Efficiency - (Actual outpot leffective capacity) x 100 where Effective capacity= 16 - () x100 = 0.375 X 100 - 37.5 Efficiency - 37.5% 6 utilization - )*100 - 50% Efficiency = (4x100 = 0.57X100 = 57 % could be © This is not necessarily true. of the design capacity is high the utilization low even though the efficiency 93 high. -0-