For a Kanban System to Work Properly, Demand Rates Must

question 39

True/False

For a kanban system to work properly, demand rates must be relatively stable, and interruptions must be minimized or quickly resolved.

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Definitions:

Net Working Capital

A financial metric representing the difference between a company's current assets and its current liabilities.

Present Value

The today's equivalent value of a future financial sum or cash flows, discounted at a predetermined rate of return.

CCA Tax Shield

The reduction in taxable income for Canadian businesses, derived from depreciating assets over time under Canada's Capital Cost Allowance regime.

Required Rate of Return

The lowest yearly percentage gain that convinces individuals or corporations to invest in a specific security or initiative.