One Question That Arises When Determining for Whom Goods and Services

question 118

Multiple Choice

One question that arises when determining for whom goods and services should be produced is:

• A) Who gets how much of the economic pie?
• B) How can we import more goods for domestic consumption?
• C) How can we reduce exports so as to leave more goods for domestic consumption?
• D) Should society outlaw child labor?

Identify the 5Ss and understand why the list sometimes extends to seven elements.

Recognize JIT policies for suppliers and the expectations from them.

Understand the implications of reducing lot size to one in JIT and lean production.

Understand the use of kanban signals within a production system.

---

Definitions:

Common Stock

Common Stock represents equity ownership in a corporation, granting holders voting rights and a share in the company's profits through dividends.

Retained Earnings

The portion of net income left over for the business after it has paid out dividends to its shareholders, indicated on the balance sheet.

Net Income

The conclusive profit of a corporation post-deduction of all operational costs and taxation from the aggregate revenue.

Cash Dividends

Payments made by a corporation out of its earnings to its shareholders, usually in the form of cash.