Which One of the Following Statements Is true About the Kanban

question 77

Multiple Choice

Which one of the following statements is true about the kanban system?

• A) The quantities in the containers are usually large to reduce setup costs.
• B) It is associated with a push system.
• C) It is useful to smooth operations when numerous quality problems occur.
• D) The supplier workstation signals the customer workstation as soon as a batch is completed.
• E) The customer workstation signals to the supplier workstation when production is needed.

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Definitions:

Maximum Profits

The highest attainable profit a firm can achieve when it sets its production output at a level where marginal cost equals marginal revenue.

Perfectly Price-Discriminated

A market scenario where a seller charges each buyer their maximum willingness to pay, capturing all available consumer surplus as profit.

Total Revenue

The total receipts from sales of a given quantity of goods or services.

Sold Units

The number of individual items or products sold by a company within a specified time period.