Shine Motor Inc

Multiple Choice

Shine Motor Inc. has decided to switch to a "just-in-time system" of manufacturing and distribution for its vehicles. Which one of the following is most likely to occur?

A) Inventory levels will increase.
B) Component parts and subassemblies are now replenished only when needed.
C) Finished goods inventory will decrease, but raw materials and work-in-process inventories will increase.
D) The workers at any given process will produce units before they are needed.