Capacity Utilization

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In the light of the concepts of the Cost Volume Profit (CVP) Analsis, respond to this comment: “We are unable to meet demand for our product, yet you refuse to let us operate all our processes at least practical capacity. I think that is a waste of equipment and personnel. What am I supposed to do, have them sweep the floors and let this expensive equipment sit idle?”

Word limit: 250-300 words

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