In a Just-In-Time Operating Environment, the Key Measure of Cost

question 6

Multiple Choice

In a just-in-time operating environment, the key measure of cost incurred is

• A) direct labor hours.
• B) push-through time.
• C) throughput time.
• D) indirect costs.

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Definitions:

Preventive Maintenance

Regular and systematic inspection, cleaning, and repair of equipment and facilities to prevent sudden failure and ensure efficient operation.

Reactive

Responding to changes or issues as they occur rather than anticipating and preparing for them in advance.