Which of the Following Statements About Inventory Is NOT True

question 5

Multiple Choice

Which of the following statements about inventory is NOT true?

• A) Inventory sitting on the shop floor costs money.
• B) The best criterion for gauging the effectiveness of manufacturing operations is inventory.
• C) A company's worth can be measured by the size of its inventory.
• D) Large inventories hide operations management problems.
• E) None of these.

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Definitions:

Sincerity

The quality of being open and genuine, without pretense or deceit.

Genuineness

The quality of being authentic, sincere, and honest in one’s feelings, actions, and relationships with others.

Sense of Duty

A moral commitment to perform tasks or responsibilities with a sense of obligation and importance.

Ego Integrity

A concept referring to the late-life crisis stage where a person reflects on their life and can feel either a sense of fulfilment or despair.