Which of the Following Statements Contradicts the Philosophy Underlying the Just-In-Time

question 76

Multiple Choice

Which of the following statements contradicts the philosophy underlying the just-in-time operating environment?

• A) The work force must become multiskilled in order to operate many different machines and perform other tasks in the work cell.
• B) A customer order triggers the purchase of materials and the activation of the production process.
• C) Large inventories are maintained in order to fulfill customer orders on a timely basis.
• D) Flexible work cells are created to increase productivity.

---

Definitions:

Ending Inventory

The total value of all unsold goods that a company has in its possession at the end of a financial period.

Inventory System

A mechanism for tracking the quantity, value, and movement of inventory through a business operation.

Periodic LIFO

An inventory valuation method applied at the end of an accounting period that assumes the last items added to inventory are the first sold.

Ending Inventory

The total value of unsold goods held by a company at the end of an accounting period.