In assemble-to-order production:
A) customer orders are filled from finished goods inventories, and production orders are used to replenish finished goods inventories.
B) the finished product is a combination of standard and custom-designed components that meet unique needs of a specific customer.
C) the finished product is generally a combination of common components and a limited number of options or accessories made available to the customer.
D) highly tailored products are created for the customer whose specifications require unique engineering design or significant customization.

Question

Quizplus · Accepted Answer

Assemble-to-order production typically involves offering a limited number of options or accessories that can be combined with common components to create a unique finished product for each customer. While some customization may be involved, it is not typically to the extent of creating highly tailored products requiring significant engineering design. Finished goods inventories are used to fulfill customer orders, and production orders are used to replenish those inventories.

In Assemble-To-Order Production