The Disadvantages of Process-Oriented Layout Come From

question 59

Multiple Choice

The disadvantages of process-oriented layout come from:

• A) the use of special purpose equipment.
• B) machine maintenance, which tends to seriously degrade the capacity of the entire system.
• C) the use of specialized material handling equipment.
• D) the need for stable demand.
• E) the general-purpose use of the equipment.

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Definitions:

Average Daily Receipts

The average amount of cash that a business receives on a daily basis, calculated over a specific period.

Cheques

Written, dated, and signed instruments that direct a bank to pay a specific sum of money to the bearer or a designated party.

Clearing Times

The time period it takes for a financial transaction to be processed and settled.

Lockbox System

A service offered by banks to companies for the collection of payments from customers, where the payments are sent directly to a post office box rather than to the company.