Contours, Inc

question 80

Multiple Choice

Contours, Inc., knows each drill bit can cut approximately 100,000 holes before the hole size is smaller than the print specification so it changes drill bits after 95,000 uses. Contours, Inc., is using ________ control.

• A) preventive
• B) predictive
• C) feedforward
• D) concurrent

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Definitions:

Maintenance Agreement

A contractual agreement where one party agrees to maintain assets owned by another party, often including repairs and replacements.

Financing Profit

The profit generated from the difference between the cost of financing sources (such as loans) and the income generated from their use.

Inventory Cost

The total cost associated with obtaining, storing, and managing inventory, including purchase costs, storage costs, and any other expenses related to maintaining or handling inventory.

Leased Lathe

A contract arrangement where a lathe, a machine tool used for shaping metal or wood, is rented for use over a specific time period.