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8 May, 16:27

A fleet repair facility has the capacity to repair 800 trucks per month. However, due to scheduled maintenance of their equipment, management feels that they can repair no more than 600 trucks per month. Last month, two of the employees were absent several days each, and only 400 trucks were repaired. What is the efficiency of the repair shop?

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  1. 8 May, 17:11
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    Efficiency of the repair shop is 66.67%

    Explanation:

    Efficiency is the ability to avoid the available resources such as workforce, time, money, material etc. The maximum output in the available resources is efficiency.

    Total Capacity of repair fleet = 800 trucks

    Effective Capacity of repair fleet = 600 trucks

    Actual Output = 400 trucks

    Trucks Utilization = Actual Output / Total Capacity = (400 / 800) x 100 = 50%

    Efficiency = Actual output / Effective Capacity = (400 / 600) x 100 = 66.7%
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