With JIT Manufacturing,which of the Following Costs Would Be Considered

question 105

Multiple Choice

With JIT manufacturing,which of the following costs would be considered a direct product cost?

• A)insurance on the plant
• B)utilities used for manufacturing
• C)janitors' salaries
• D)salary of the plant supervisor

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Definitions:

Risk Compartmentalization

The division of risks into different categories or compartments in an organization, which can lead to disjointed risk management and a failure to recognize the aggregate extent of risks.

Profit Centers

Individual units or divisions within a company that are responsible for generating their own revenue and profit.

Code of Ethics

A document outlining the principles and values that guide the behavior of individuals within an organization, setting standards for ethical conduct.

Laissez-Faire Economics

An economic philosophy of free-market capitalism that opposes government intervention. It suggests that economic systems function best when there is minimal interference by government in the affairs of the market.