Determine the utilization and the efficiency for each of these situations: a. A loan processing operation that processes an average

Determine the utilization and the efficiency for each of these situations: a. A loan processing operation that processes an average of 4 loans per day. The operation has a design capacity of 11 loans per day and an effective capacity of 9 loans per day. (Round your answer to 1 decimal place. Omit the "%" sign in your response.) Utilization % Efficiency %b. A furnace repair team that services an average of 3 furnaces a day if the design capacity is 7 furnaces a day and the effective capacity is 6 furnaces a day. (Round your answer to 1 decimal place. Omit the "%" sign in your response.)Utilization % Efficiency % c. Would you say that systems that have higher efficiency ratios than other systems will always have higher utilization ratios than those other systems?

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  1. The answer to the given problem is given below.

    Explanation:

    a.

    Utilization  = Actual Output/Design Capacity = [tex]\frac{4}{11}[/tex] = 36.4%

    Efficiency  = Actual Output/Design Capacity = [tex]\frac{4}{9}[/tex] = 44.4%

    b.

    Utilization  = Actual Output/Design Capacity = [tex]\frac{3}{7}[/tex] = 42.9%

    Efficiency  = Actual Output/Design Capacity = [tex]\frac{3}{6}[/tex] = 50%

    c.

    This is not necessarily true. If the design capacity is relatively high, the utilization could be low even though the efficiency was high.

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