Which of the Following Actions Is Consistent with the Use

question 133

Multiple Choice

Which of the following actions is consistent with the use of pure level strategy?

• A) use inventory to meet demand requirements
• B) use overtime to meet higher-than-average demand requirements
• C) vary production levels to meet demand requirements
• D) vary workforce to meet demand requirements
• E) use statistical sampling to meet average demand requirements

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Definitions:

Treasury Stock

Shares that have been issued by a company and then repurchased from the market, reducing the amount of outstanding stock on its balance sheet.

Financing Activities

Activities that result in changes in the size and composition of the equity capital or borrowings of the company, reflected in the cash flow statement.

Free Cash Flow

Free cash flow represents the amount of cash a company generates after accounting for capital expenditures needed to maintain or expand its asset base.

Productive Capacity

The maximum output or production level that a facility, sector, or economy can sustain over a period.