Which of the Following Is a Method of Inventory Cost

question 4

Multiple Choice

Which of the following is a method of inventory cost management that seeks to eliminate excess inventory?

• A) lean production
• B) sustainable production
• C) just-in-time production
• D) supply chain simplification

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Definitions:

Operations

The day-to-day activities involved in running a business, especially those related to production, manufacturing, or providing services.

Standard Cost System

An accounting system that uses predetermined costs for products or services to help managers control expenses and analyze operational performance.

Direct Labor

The labor costs that can be directly attributed to the production of goods or services, such as wages for workers who assemble a product.

Standard Cost System

An accounting system that uses predetermined costs for product costing and variance analysis.