Just-in-time inventory is a method of managing purchasing,production,and sales,by which
A)the firm attempts to produce each item only as needed for the next step in the production process.
B)the firm attempts to time purchases so that items arrive just in time for sale or production.
C)the firm attempts to produce each item only as needed for the next step in the production process,and the firm attempts to time purchases so that items arrive just in time for sale or production.
D)None of the answers is correct.

Question

Quizplus · Accepted Answer

Just-in-time inventory is a method of managing purchasing, production, and sales by which the firm attempts to produce each item only as needed for the next step in the production process, and the firm attempts to time purchases so that items arrive just in time for sale or production. This ensures that the firm doesn't hold excess inventory, reducing inventory holding costs, and improves cash flow by reducing the need for working capital. Therefore, both options mentioned in choice C are correct, making it the best choice.

Just-In-Time Inventory Is a Method of Managing Purchasing,production,and Sales,by Which