Capacity constraints

Capacity constraints exist in all forms of business. Owners must consider
these constraints when setting off in an effort to make sure they understand
the break even and profit points their business holds.

Consider the different types of capacity constraints that might be involved
with Amani Restaurant

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In a 1-2 page paper, list a minimum of three types of capacity constraints
that would potentially play a part in the business type.

How would you use absorption costing to reduce the overall risks associated
with these constraints?

 

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