Which of the following is characteristic of the lean system?
A) Fewer work in process account transactions.
B) Work in process and raw materials accounts combined.
C) Elimination of the direct labor account.
D) All of the above.

Question

Quizplus · Accepted Answer

All of the options listed are characteristic of the lean system. Lean focuses on reducing waste, so having fewer work in process account transactions and combining work in process and raw materials accounts helps eliminate unnecessary steps and reduce inventory. Eliminating the direct labor account is also a lean practice as it focuses on the value-added activities rather than tracking the cost of labor separately.

Which of the Following Is Characteristic of the Lean System