A Just-In-Time Inventory System Allows a Firm To

question 201

Multiple Choice

A just-in-time inventory system allows a firm to:

• A) extend credit to new customers.
• B) provide sufficient inventory for most contingencies.
• C) reduce their investment in inventory.
• D) reduce capital expenditures.

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Definitions:

Junk Foods

Foods with low nutritional value, typically high in fats, sugars, salt, and calories.

Health Maintenance Organization

An organization that provides or arranges managed care for health insurance, self-funded healthcare benefit plans, individuals, and other entities, on a prepaid basis.

Preferred Provider Organization

A type of health plan that contracts with medical providers, such as hospitals and doctors, to create a network of participating providers; you pay less if you use providers that belong to the plan’s network.

Health Care Organization

An institution that provides medical services, ranging from preventive care to treatment and management of illnesses and diseases.