All of the Following Are Benefits of Just-In-Time Inventory Ordering

question 139

Multiple Choice

All of the following are benefits of just-in-time inventory ordering systems except:

• A) reduces warehouse space.
• B) saves utility and manpower costs.
• C) reduces inventory financing costs.
• D) prevents stock-outs.

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Definitions:

Automated Shaper

A machine tool controlled by computers, designed for shaping materials such as metals or wood.

Unused Capacity

The portion of a company's production capability that is not currently being utilized for production.

Job-Order Costing

An accounting methodology that tracks costs individually for each job, rather than on a department or factory-wide basis.

Automated Shaper

Machinery equipped with computer numerical control (CNC) to shape materials into specific designs with minimal human intervention.