The Drawback of a Just-In-Time Inventory System Is That It

question 35

Multiple Choice

The drawback of a just-in-time inventory system is that it

• A) increases the total capital required by a firm.
• B) leaves a firm without a buffer stock of inventory.
• C) increases inventory holding costs, such as warehousing and storage costs.
• D) is less efficient than traditional system in spotting and fixing defective inputs.
• E) lowers a company's profitability as measured by return on capital invested.

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Definitions:

Antifeminist Movement

A social and political movement opposing feminism and its efforts to change societal norms related to gender equality and women's rights.

Consequence

A result or effect of an action or condition.

Détente

A period of improved relations between two countries that were previously in conflict with each other, notably used to describe the easing of tensions between the United States and the Soviet Union during the Cold War era.

Nixon

37th President of the United States, known for his policy of détente with the Soviet Union and the scandal of Watergate that led to his resignation.