idle capacity

The part of the budgeted capacity within an organization that is unused. It is measured in hours using the same measure as production. Idle capacity can arise as a result of a number of causes in all of which the actual hours worked is less than the budgeted hours available. The reasons can include non-delivery of raw materials, shortage of skilled labour, or lack of sales demand.

Accounting dictionary. 2014.

Look at other dictionaries:

  • idle capacity — The part of the budgeted capacity within an organization that is unused. It is measured in hours using the same measure as production. Idle capacity can arise as a result of a number of causes in all of which the actual hours worked is less than… …   Big dictionary of business and management

  • Idle capacity —   The component of operable capacity that is not in operation and not under active repair, but capable of being placed in operation within 30 days; and capacity not in operation but under active repair that can be completed within 90 days.   U.S …   Energy terms

  • idle capacity ratio — The ratio, sometimes expressed as a percentage, of the production capacity idle during a specified period to the capacity as expressed in the budget. Capacity can be measured in machine hours or labour hours and idle capacity is measured in the… …   Accounting dictionary

  • idle capacity variance — See: fixed overhead capacity variance …   Accounting dictionary

  • Неиспользуемая мощность (IDLE CAPACITY)  — Разность между мощностью производственной единицы и ее фактическим уровнем использования. Отличается от Запасной мощности (Standby Capacity) тем, что оборудование не выведено из эксплуатации, но просто простаивает незагруженным. См. также… …   Словарь терминов по управленческому учету

  • Стоимость неиспользуемой мощности (IDLE CAPACITY COST)  — Отклонение в стоимости как результат неспособности задействовать мощности согласно запланированным нормам …   Словарь терминов по управленческому учету

  • capacity ratios — Fin measures of performance in the use of capacity. EXAMPLE The more commonly used capacity levels are: full capacity output (expressed in standard hours) that could be achieved if sales orders, supplies, and workforce were available for all… …   The ultimate business dictionary

  • capacity — The level of productive capacity that an organization can attain under particular circumstances. It may be expressed in terms of direct labour hours, machine hours, or standard hours. See also: budgeted capacity, idle capacity …   Accounting dictionary

  • idle time — The time, usually measured in labour hours or machine hours, during which a production facility is unable to operate. See also: idle capacity, waiting time …   Accounting dictionary

  • idle time — The time, usually measured in labour hours or machine hours, during which a production facility is unable to operate. See also idle capacity; waiting time …   Big dictionary of business and management

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”

We are using cookies for the best presentation of our site. Continuing to use this site, you agree with this.