Practical Capacity :
It refers to the production capacity of a firm taking into consideration various internal and external factors within which the firm operates .
Normal capacity :
It refers to the production capacity of a firm at which the firm can operate in normal situation
Maximum capacity :
It refers to the capacity at which the firm can operate using all the factors of production to fullest extent . in the capacity beyond which the firm can't produce more . A firm can't operate at this capacity for a long period .It causes damage to machine .In emergent situation this capacity is used .
Actual capacity :
It refers to the production capacity of a firm at which the firm producing at present .It may any capacity from start to maximum .Usually the firm operate at normal capacity .
Idle capacity :
It refers to the capacity which remains idle in other word the capacity which remains unused .The reasons for such idle capacity is shortage of material , machine brokedown , power failure , waiting for instruction etc .
Idle capacity = Normal capacity -Actual capacity
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