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krok68 [10]
3 years ago
8

One inherent risk to using lean philosophy is that companies are at higher risk of inventory shortage during volatile times such

as strikes, weather, etc. than when using the traditional philosophy.True / False.
Business
1 answer:
olganol [36]3 years ago
6 0

Answer:

True

Explanation:

As in the lean philosophy the production is based on specific customer demands, there are chances that when the order is received then the inventory required is not present and that the inventory is not held in hand.

Whereas in the traditional philosophy the production is based on the principle of budgets and sales forecast, accordingly the sales keeps on moving and the inventory is also held in hand prior to confirmation of order from customers.

Since there is no planning before the order is received from customers under lean, in emergency cases, or scarcity of resources, the inventory will fall short, and acquisition of inventory would not be easy.

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The difference in production is most likely due to adding a chef, because production increased across the board at each level for both types of rolls. If there was only one chef, one roll would increase and the other would decrease because they could only spend their time on one thing.

6 0
3 years ago
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Looking forward to next year, if Digby’s current cash amount is $17,478 (000) and cash flows from operations next period are unc
Strike441 [17]

Answer:

d

Explanation:

Purchases assets at a cost of $15,000 (000)

Repurchases $10,000 (000) of stock

Issues 100 (000) shares of common stock

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8 0
2 years ago
Gerald received a one-third capital and profit (loss) interest in XYZ Limited Partnership (LP). In exchange for this interest, G
ollegr [7]

Answer:

$12,000

Explanation:

According to the given situation,the computation of the outside basis is shown below:-

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= $18,500 - $9,750 + $3,250

= $12,000

Therefore for computing the total outside basis we simply applied the abovbe formula.

7 0
3 years ago
ABC Company has a cash balance of $9,000 on April 1. The company must maintain a minimum cash balance of $6,000. During April ex
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I think this may be C
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Two companies share a market, in which they currently make $5,000,000 each. Both need to determine whether they should advertise
snow_tiger [21]

Answer: Please refer to Explanation.

Explanation:

Two Companies. We shall call them A and B.

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If A advertises and B does not then A captures $3 million from B at a cost of $2 million meaning their payoff would be,

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A will have $6 million and B will have $2 million as $3 million was captured from them. This scenario holds true if B is the one that advertises and A does not.

If both of them Advertise, they both reduce their gains by $2 million while capturing $3 million from each other so they'll essentially both have just $3 million if they both decide to advertise.

With the above scenarios, it is better for both companies to ADVERTISE if there is NO COLLUSION. This is because it ensures that they do not get the lowest payoff of $2 million if the other company decides to advertise and they do not.

However, if they DO COLLUDE. They must both decide that NONE of them SHOULD ADVERTISE and this would leave them with their original $5 million each which is a higher payoff than the $3 million they will both receive if they were both advertising.

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3 years ago
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