-The Table Above Lists Six Points on the Production Possibilities

question 126

Multiple Choice

-The table above lists six points on the production possibilities frontier for grain and cars. From this information you can conclude that production is inefficient if this economy produces

• A) 2 tons of grain and 27 cars.
• B) 8 tons of grain and 10 cars.
• C) 6 tons of grain and 18 cars.
• D) 4 tons of grain and 26 cars.

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Definitions:

Lean Operations

A business methodology that focuses on minimizing waste and maximizing value in the production process through continuous improvement and responding to customer demands.

Work Centre

A specific location where work is performed, characterized by certain capabilities, resources, and capacities.

Kanban

The Japanese word for card, which has come to mean “signal”; a kanban system moves parts through production via a “pull” from a signal.

Safety Stock

Additional inventory maintained to mitigate the risk of stockouts due to uncertainties in demand or supply chain disruptions.