Question: A process is designed to produce 500 units per hour with a scrap rate of 1% and inherent inefficiencies of 10%. Assuming that actual output

A process is designed to produce 500 units per hour with a scrap rate of 1% and inherent inefficiencies of 10%. Assuming that actual output is 425 units per hour, compute design capacity, available capacity, actual capacity, capacity utilization, efficiency, and output gap measure.

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