General Studies · Inventory Management
Which of the following statements is TRUE regarding a Just-in-Time (JIT) inventory system?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1It increases holding costs due to higher buffer stocks.
- 2It shifts the responsibility for quality control largely to the supplier.✓
- 3It reduces the reliance on strong relationships with suppliers.
- 4It is more suitable for companies with unpredictable and fluctuating demand.
Correct answer
It shifts the responsibility for quality control largely to the supplier.
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