When creating a hole it is very rare to go for LMC as enough

When creating a hole, it is very rare to go for LMC, as enough thickness needs to be ensured between edge and internal surface of the hole. On the other hand, MMC ensures greatest amount of material is left. So to answer your question, choce of MMC or LMC will be guided by the funnction and size of the hole. If its too big, does it interfere with the structural integrity of the part? If no, we can go for LMC. If it interferes, go for MMC. When a modifier is added to the MMC, geometrical tolerance is added on the datum feature of the size is added MMC size

Solution

If it is a hole or internal feature: LMC =Largest hole size (least material in part) should be used. Unless surface integrity is not harshed.

By using the MMC modifier, a bonus is allowed that could permit the hole to be out of position by as much as 0.7mm.

So with the functionality of the hole .it is decided what to use. LMC or MMC