Which of the Following Correctly Describes Just-In-Time (JIT)Management

question 105

Multiple Choice

Which of the following correctly describes Just-in-Time (JIT) Management?

• A) It is a production approach that maintains surplus goods at each stage of manufacture.
• B) It is an inventory purchase approach that seeks purchase discounts on buying large quantities.
• C) It is a cost management approach that focuses on maintaining lean inventory levels.
• D) It is an inventory approach that stockpiles raw materials to protect against supply interruptions.

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Definitions:

Fixed Cost

Any cost that in total does not change when the firm changes its output.

Harvest Labor

The workforce engaged in the process of gathering ripe crops from the fields.

Marginal Cost

The cost of producing one additional unit of a product, critical for decision-making in production.

Total Cost

The sum of fixed and variable costs incurred in the production of goods or services.