Which of the Following Statements Is True with Regard to JIT

question 88

Multiple Choice

Which of the following statements is true with regard to JIT in global supply chains?

• A)Shipping numerous small quantities of products is less cost-effective over long distances.
• B)Communication is not as important as it is replaced by Kanban.
• C)JIT can increase the number of suppliers.
• D)JIT can decrease the quality of goods supplied.

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Definitions:

Planned Debt

Borrowing that is anticipated and strategically used for business operations, expansion, or other purposes.

Sustainable Growth Rate

The maximum rate at which a company can grow its earnings without needing to increase its financial leverage or equity financing.

Dividend Payout Ratio

The proportion of earnings that a company pays to its shareholders in the form of dividends.

Debt Ratio

A financial ratio that measures the extent of a company’s leverage, calculated by dividing total liabilities by total assets.