Multiple choice

Which of the following is a benefit of the just in time method to manage working capital?

  1. it improves the control of cash

  2. it improves the control of inventory

  3. it improves the value of current assets

  4. it improves the control of current liabilities
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Just-in-time (JIT) is an inventory management strategy that aligns raw-material orders from suppliers directly with production schedules, thereby improving inventory control and reducing storage costs.

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