A System of Improvement Based on a Series of Gradual

question 66

Multiple Choice

A system of improvement based on a series of gradual and often small improvements is called:

• A) throughput.
• B) kaizen.
• C) manufacturing cycle efficiency.
• D) centralization.

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Definitions:

Net Present Value

A method used to evaluate the profitability of an investment by calculating the difference between the present value of cash inflows and the present value of cash outflows over a period.

Capital Budgeting

The process of evaluating and selecting long-term investments that are consistent with the firm's goal of wealth maximization.

Discount Rate

The discount rate refers to the interest rate applied in discounted cash flow analysis to calculate the present value of future cash flows.

Annual Cash Inflows

The total amount of money received by a business from its operations, investments, and financing activities over the course of a year.