The calculation of unit cost that can be used for estimating capacity investment decisions is frequently ambiguous due to the many ways to apportion applicable cash ows connected to the delivery of products. This paper studies the identification of relevant unit cost when productive capacity is...

We present an extension of the Goodwin growth-cycle model that considers the rate of capacity utilization as a new variable in an adapted Lotka-Volterra system of differential equations. We derive a differential equation for the capacity utilization that is proportional to the difference between...

Planning is the process of identifying the present situation, setting goals and define ways to achieve the objectives. Planning is the primary function of business management because of time preparing space for all other aspects of management, is considered a link between past and present [2]....