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13 April, 14:46

Weston industries and riley enterprises are manufacturing companies. currently, weston has a high raw materials inventory and a low finished goods inventory. riley has a low raw materials inventory and a high finished goods inventory. based on these inventory levels, which of the following assumptions can you make?

a: weston is preparing to switch to jit production, while riley has no plans to change production.

b: weston is preparing to increase production, while riley is preparing to decrease production.

c: weston is preparing to decrease production, while riley is preparing to increase production.

d: weston has no plans to change production, while riley is preparing to switch to jit production.

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  1. 13 April, 14:54
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    d: Weston has no plans to change production, while riley is preparing to switch to JIT production.

    Explanation:

    If Weston industries and Riley enterprises are manufacturing companies, and currently, Weston has a high raw materials inventory and a low finished goods inventory while Riley has a low raw materials inventory and a high finished goods inventory.

    Based on these inventory levels, the assumption that can be made is that Weston has no plans to change production, while Riley is preparing to switch to JIT production.

    The purpose of Just In Time manufacturing technique is the ordering of inventory on an as-needed basis means that the company does not hold any safety stock, and it operates with continuously low inventory levels.
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