Answer:
a. 0.7273 or 72.73%
b. 0.8875 or 88.75%
Explanation:
a. Utilization rate is the ratio of the amount of installed capacity planned to be used relative to the total installed capacity. This can be stated as follows:
Utilization rate = ICP ÷ TC ......................................... (1)
ICP = Amount of installed capacity planned to be used
TC = Total installed capacity
From the question, ICP = 1,600 while TC = 2,200. Substituting this into equation (1), we have:
Utilization rate = 1,600 ÷ 2,200 = 0.7273 or 72.73%
Therefore, utilization rate is 0.7273 or 72.73%.
b. Efficiency rate is the ratio of the actual installed capacity used relative to the amount of installed capacity planned to be used. This can be stated as follows:
Efficiency rate = AIC ÷ ICP ......................................... (1)
AIC = Actual installed capacity used
ICP = Amount of installed capacity planned to be used
From the question, ICP = 1,420 while TC = 1,600. Substituting this into equation (1), we have:
Efficiency rate = 1,420 ÷ 1,600 = 0.8875 or 88.75%
Therefore, efficiency rate is 0.8875 or 88.75%
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