Which One of the Following Is an Advantage of Just-

question 110

Multiple Choice

Which one of the following is an advantage of just- in- time (JIT) systems?

• A) JIT systems reduce equipment needs by using larger lot sizes.
• B) JIT systems result in a decrease in safety stock and work- in- process inventory.
• C) JIT systems can be implemented in any production environment.
• D) JIT systems result in an increase in manufacturing lead times.

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Definitions:

Management Discussion And Analysis

A section in an annual report where management provides insight and perspective on the financial results, trends, and future outlook of the company.

Return On Stockholders' Equity

A financial ratio that measures a company's ability to generate profits from its shareholders' equity.

Return On Common Stockholders' Equity

A measure of financial performance that indicates how much net income a company generates with the money shareholders have invested.

Earnings Per Share

A financial measure that calculates the portion of a company’s profit allocated to each outstanding share of common stock, indicating profitability.