Which of These Is Not a Benefit of the Just-In-Time

question 24

Multiple Choice

Which of these is not a benefit of the just-in-time system?

• A) it guarantees that inventory will always be available from the supplier
• B) it reduces inventory obsolescence
• C) it reduces raw material handling costs
• D) none of the above is not a benefit, i.e. all are benefits of the just-in-time system

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Definitions:

Goods and Services

The fundamental output of businesses to customers; goods are tangible items, whereas services are intangible offerings.

Market Potential

The maximum total sales volume that could be achieved by all firms in a market for a specific product or service over a given period, under ideal conditions.

Purchasing Power Parity

An economic theory that compares different countries' currencies through a "basket of goods" approach, aiming to assess their relative purchasing power.

GDP Data

Statistical information that reflects the market value of all final goods and services produced within a country in a given period, used to analyze economic health.