3. Papi Toys can produce 500 toys in a single day under maximum conditions. However, it is...

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3. Papi Toys can produce 500 toys in a single day under maximum conditions.

However, it is designed to produce 400 units per day under normal conditions.

In February, it produced 480 units per day. What was Papi Toys’ capacity utilization for both design and effective capacity? What do these numbers tell you?

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