How Does Lean Production Differ from "Batch Work" Methods

question 91

Multiple Choice

How does lean production differ from "batch work" methods?

• A)It stresses the need for using the maximum number of people for production.
• B)It has fewer employees who are well trained.
• C)It has more opportunity to cut costs by laying off employees.
• D)It emphasizes the use of maximum materials.
• E)It employs a large number of low-skilled workers.

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Definitions:

Gross Profit Method

An inventory estimation technique that calculates cost of goods sold and the ending inventory balance using a gross profit margin.

Interim Financial Reports

Financial statements that are prepared and presented for a period shorter than a fiscal year, often quarterly or semi-annually, to provide timely information to stakeholders.

Gross Profit Method

An inventory estimation technique calculating the cost of goods sold by applying a gross profit margin to sales, used for interim financial reporting and estimating inventory levels.

Beginning Inventory

The value of stock held by a business at the start of an accounting period.