JIT Avoids Shutdowns Due to Materials Shortages in All of the Following

question 17

Multiple Choice

JIT avoids shutdowns due to materials shortages in all of the following ways EXCEPT

• A)using total preventive maintenance.
• B)holding inventory.
• C)using total quality control to reduce defective materials.
• D)working with suppliers to ensure the availability of materials.

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Definitions:

Market Consumer Surplus

The discrepancy between the amount customers are prepared to pay for a product or service and the amount they end up paying.

Producer Surplus

The difference between what producers are willing to sell a good for and the actual price they receive.

Production Costs

The total amount spent by a business to produce goods or services, including materials, labor, and overhead expenses.

Equilibrium Point

In economics, the point at which the supply and demand curves intersect, indicating the price at which the quantity supplied equals the quantity demanded.