A System That Calls for Subassemblies and Components to Be

question 25

Multiple Choice

A system that calls for subassemblies and components to be manufactured in very small lots and delivered to the next stage of the production process as they are needed is known as

• A) mass production.
• B) offshoring.
• C) crowdsourcing.
• D) continuous process.
• E) just-in-time.

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Definitions:

Current Ratio

A liquidity ratio that measures a company's ability to pay short-term obligations with its short-term assets.

Net Profit Margin

A profitability ratio calculated as net income divided by revenue, expressed as a percentage, indicating how much profit a company generates from its total sales.

Quality of Income

A measure of how easily accounting income can be converted to cash, indicating the reliability of earnings.

Gross Profit Percentage

A financial metric that represents the proportion of money left over from revenues after accounting for the cost of goods sold, expressed as a percentage.