Which One of the Following Statements Concerning Typical Objectives of Production

question 137

Multiple Choice

Which one of the following statements concerning typical objectives of production and staffing plans is best?

• A) Improved on-time delivery also means minimizing inventory investment.
• B) Minimizing costs will also minimize changes in the workforce levels.
• C) Maximizing profits also minimizes inventory investment.
• D) Adjusting workforce levels may cause lower productivity because new employees typically need time to become fully productive.

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Definitions:

Public Service Commission

A regulatory body governing the rates and services of public utilities, such as electricity, gas, and water within a certain jurisdiction.

Rate-making Purposes

The process used by regulators to establish fair and reasonable rates charged to customers by utility companies or insurers.

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Facilities in the electric grid that transform voltage levels between the generating stations and consumers, facilitating the efficient transmission of electricity.

Fixed Charge Coverage Ratio

This ratio measures a company's ability to cover its fixed charges, such as interest and leases, with its earnings before interest and taxes.