The JIT Concept Will Not Work Without the Proper Environment

question 106

Multiple Choice

The JIT concept will not work without the proper environment.Which one of the following characteristics is most common to firms that have successfully implemented a JIT system?

• A) uniform assembly schedules
• B) specialized workforce
• C) high rates of machine failures
• D) longer setup times

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Definitions:

Capital Budgeting

The process by which a business evaluates and plans for the acquisition and investment of long-term assets.

Multiple Internal Rates of Return

Occurs when a project or investment has more than one IRR due to unusual cash flow patterns.

Mutually Exclusive Projects

Mutually exclusive projects are investment decisions where the acceptance of one project results in the rejection of another.

Different Lives

A term typically used in capital budgeting to describe projects or assets with varying operational life spans, complicating comparisons.