To Implement a Flow Process in Developing a Lean System

question 72

Multiple Choice

To implement a flow process in developing a lean system a firm might do which of the following?

• A) Improve capacity utilization.
• B) Build product in anticipation of demand.
• C) Reduce setup/changeover time.
• D) Eliminate some fixed costs.
• E) Implement groupware.

---

Definitions:

Average Sale Period

The average time period that items remain in inventory before being sold, indicating the liquidity of inventory.

Common Stock

A type of equity security that represents ownership in a corporation, entitling the holder to vote at shareholder meetings and receive dividends.

Total Asset Turnover

A financial ratio that measures a company's ability to generate sales from its assets, calculated as sales divided by total assets.

Common Stock

A type of equity ownership in a corporation, representing a claim on a portion of the profits and assets.