What of the Following Best Describes Just-In-Time Inventory Management

question 38

Multiple Choice

What of the following best describes just-in-time inventory management?

• A) Inventory is maintained as a buffer to meet uncertainties in demand, supply, and movements of goods.
• B) Production inefficiencies arising when production capacity stands idle for lack of materials are minimized by holding a small stock of essentials at all times.
• C) A firm acquires inventory precisely when needed so that its inventory balance is always at, or close to, zero.
• D) A firm minimizes the time lags present in the supply chain by maintaining a certain amount of inventory to use in these lag times.

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Definitions:

Hourly Wage

The amount of money paid for each hour of work.

Dual Labor Market Theory

A theory suggesting the labor market is divided into two segments—the primary (high wage, good jobs) and the secondary (low wage, poor quality jobs) sectors.

Productivity Growth

The increase in the efficiency of production, measured by the amount of goods and services produced per unit of input.

Unionized Workers

Employees who are members of a union, which is an organized association formed to protect and further their rights and interests.