capacity

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Capacity

Credit grantors' measurement of a person's ability to repay loans.

Capacity

The theoretical maximum number of products a company can produce at a given time. For example, an oil pump may have a capacity of X barrels per day, meaning that it cannot produce more than X. Companies rarely operate at full capacity, both to allow themselves leeway in the event of increased demand and because capacity may not be possible at a given time because of worker illness, machinery maintenance, or other reasons.

capacity

the maximum amount of output that a firm is physically capable of producing, at a point in time, given the fullest and most efficient use of its existing plant or plants.

Over time, a firm may adjust its capacity to meet changes in demand and the competitive situation facing it, investing in new plant or extending existing plant to meet an increase in demand, or closing down plant, permanently or temporarily (‘MOTHBALLING’), to meet a situation of OVERCAPACITY.

When preparing a PRODUCTION BUDGET, it is necessary to ensure that the firm has sufficient production capacity to meet planned output levels. A firm's capacity or the capacity of industry in general may be limited by the availability of capital equipment and labour.

The maximum rate of output which the firm can produce will depend upon the capacity of its individual factories which in turn depends upon the capacity of various departments and work stations within each factory See INPUT-OUTPUT CONTROL, PRODUCTION SCHEDULING, PRODUCTION-LINE BALANCING. See CAPACITY UTILIZATION, LIMITING FACTOR, RATIONALIZATION, INDIVISIBILITIES, CAPACITY CONSTRAINED RESOURCE, CAPACITY CONTROL, CAPACITY CUSHION, CAPACITY PLANNING, CAPACITY REQUIREMENTS PLANNING.

capacity

  1. 1the maximum amount of output that a firm or industry is physically capable of producing given the fullest and most efficient use of its existing plant. In microeconomic theory, the concept of full capacity is specifically related to the cost structures of firms and industries. Industry output is maximized (i.e. full capacity is attained) when all firms produce at the minimum point on their long-run average total cost curves (see PERFECT COMPETITION). If firms fail to produce at this point, then the result is EXCESS CAPACITY.
  2. in macroeconomics, capacity refers to POTENTIAL GROSS NATIONAL PRODUCT. The percentage relationship of actual output in the economy to capacity (i.e. potential national income) shows capacity utilization. See also MONOPOLISTIC COMPETITION.

capacity

The legal ability of parties to enter into contracts.
• Full capacity. Having unlimited ability to enter into binding contracts of all types.
• Limited capacity. Having the ability to enter into binding contracts for certain things, such as a minor's contracts for necessities, but also having the ability to disaffirm other contracts upon reaching legal age, for example.
• No capacity. Having no ability to enter into contracts, such as one who has been adjudicat- ed as mentally incompetent.

References in periodicals archive ?
Inhibitory effects of [beta]-citronellol on smooth-muscle contraction induced by store-operated capacitative [Ca.sup.2+] entry.
lb) which is characteristic (purely capacitative) of an intact coating.
Recent breakthroughs in the molecular mechanism of capacitative calcium entry (with thoughts on how we got here).
The hydrophobic nature of thymol means that it can approach ion channel proteins through the lipid phase of the membrane, alter the local environment of calcium channels and thus inhibit capacitative calcium entry.
The static and impact stresses acting upon the penetrator10 is made by a dynamometer cell with capacitative force sensor 3, the condenser being composed of two plane cylindrical coatings 4 and 5 in series into static or impact stress flux of the tested material 11.
Their capacitative tech automatically starts the music when you put both earphones in and pauses it if you take one out to argue with a bus driver.
The "MICROSENSORICS" field comprises, both structurally and functionally, the groups of sensors and micro-sensors with several constructive variants based on different functioning principles (inductive, capacitative, magnetic photo-electrical, piezoelectric, ultra-sonic, interferometers, telemeters, etc.) together with the groups of transducers and of micro-transducers found in many mechanical/micromechanical, mechatronic and micro-mechatronic constructive variants and based on the functioning principles of sensors/micro-sensors, which, however, integrate fully into them.
Several types of commercially available accelerometers are used to monitor human movement: strain gages, piezoresistive, capacitative, piezoelectric as well as microelectromechanical systems (MEMS) (8),
The company has also unveiled a range of other new product developments including the S81, S82, S85 and S86 capacitative switches for liquid level control and also the S100 series of temperature switches.
Negatively charged anions start moving towards polymer strip and capacitative charging starts for the polymer film at interface.
Bcl-2 overexpression results in enhanced capacitative calcium entry and resistance to SKF-96365-induced apoptosis.