JIT Systems Maintain Inventory in Small Lot Sizes Because Small

question 46

Multiple Choice

JIT systems maintain inventory in small lot sizes because small lot sizes

• A) increase the quality level of the product.
• B) increase pipeline inventory, allowing the organization to buffer against demand uncertainties.
• C) enable schedules to utilize machine capacities more efficiently.
• D) increase manufacturing lead time because of the increase in waiting time.

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Definitions:

General Form

A standard way to write equations that allows for easy identification of key components.

Points

Defined locations in space, often represented as coordinates in a geometric or algebraic context.

Linear Depreciation

A method of allocating the cost of a tangible asset over its useful life in a linear, or evenly spread, manner.

Depreciates

To decrease in value over time, typically used in reference to assets or property.