Steubenville Corporation recently abandoned its traditional production and inventory system in favor of a just-in-time system. The company typically ordered 700 units of raw material at a time and purchased units that scored a 7 on a 10-point quality scale, with 10 being very close to perfection. All other things being equal, which of the following choices denotes a likely scenario under the just-in-time system?
A) 1.
B) 2.
C) 3.
D) 4.
E) 5.
Correct Answer:
Verified
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