The Benefits of a Just-In-Time System Would Include All of the Following

question 66

Multiple Choice

The benefits of a just-in-time system would include all of the following except:

• A) increased warehousing costs.
• B) reduced inventory holding costs.
• C) improved customer satisfaction.
• D) decrease in the number of suppliers.

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Definitions:

Times Interest Earned

A financial ratio that measures a company's ability to meet its interest obligations, calculated as earnings before interest and taxes divided by interest expense.

Times Interest Earned Ratio

A financial indicator assessing a company's capacity to pay its interest costs using its earnings before interest and taxes.

Year 2

Generally refers to the second year of operation, or the second year being considered in a multi-year analysis.

Debt-to-Equity Ratio

An indicator of the relative amounts of shareholders' equity and debt financing employed to support a company's assets.