How Does a Just-In-Time Inventory System Help Enhance Product Quality

question 5

Multiple Choice

How does a just-in-time inventory system help enhance product quality?

• A) Ordering parts only when needed allows a company to customize products.
• B) Defective parts are noticed more quickly than in a traditional warehouse system.
• C) JIT creates a nearly error-free production process.
• D) It reduces the costs related to inventory holding which creates a larger budget for product enhancement.
• E) It reduces the need to write off excess unsold inventory against earnings.

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