# business studies - capacity utilisation help!Watch

Announcements
#1
A firm’s capacity utilisation is 60%. Its capacity then increases by 20%. Its new capacity utilisation is:

according to the mark scheme the answer is 50% but i can't figure out how they got 50%
0
1 year ago
#2
Sorry you've not had any responses about this. Are you sure you've posted in the right place? Here's a link to our subject forum which should help get you more responses if you post there.
0
1 year ago
#3
so if it's 60% capacity utilisation, then the overall capacity increased by 20%. so the capacity before was 100% add 20% is 120% and if the amount of capacity utilised doesn't change, it comes 50% because 60% is half of 120%. does this make any sense? I'm bad at explaining
0
1 year ago
#4
(Original post by s.mo)
A firm’s capacity utilisation is 60%. Its capacity then increases by 20%. Its new capacity utilisation is:

according to the mark scheme the answer is 50% but i can't figure out how they got 50%
Okay so capacity utilisation is actual used/ capacity x100

You have to put some numbers into this to get 60 percent

So 60/100 x100= 60 percent
If capicity is increasing by 20 percent then 100 will go to 120 so now 60/120 x100= 50 percent
1
X

new posts
Back
to top
Latest
My Feed

### Oops, nobody has postedin the last few hours.

Why not re-start the conversation?

see more

### See more of what you like onThe Student Room

You can personalise what you see on TSR. Tell us a little about yourself to get started.

### University open days

• University of East Anglia
Tue, 3 Mar '20
Tue, 3 Mar '20
• Queen's University Belfast
Wed, 4 Mar '20

### Poll

Join the discussion

#### Do you get study leave?

Yes- I like it (506)
59.67%
Yes- I don't like it (43)
5.07%
No- I want it (241)
28.42%
No- I don't want it (58)
6.84%

View All
Latest
My Feed

### Oops, nobody has postedin the last few hours.

Why not re-start the conversation?

### See more of what you like onThe Student Room

You can personalise what you see on TSR. Tell us a little about yourself to get started.