The Only Disadvantage of JIT Purchasing Is the Higher Levels

question 49

True/False

The only disadvantage of JIT purchasing is the higher levels of carrying and inspection costs.

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Definitions:

Weekly Total Revenue

The total amount of money earned or received by a company, organization, or individual from all sources within a week.

Fixed Costs

Fixed costs are business expenses that remain constant regardless of the level of production or sales, such as rent, salaries, and insurance.

Industry Supply Curve

A graphical representation showing the total quantity of a good or service that businesses in a specific industry are willing and able to supply at various prices.

Price of An Input

The cost associated with one unit of a raw material or component used in the production of goods or services.