Which of the following controls can minimize the threat of over- and underproduction?
A)The use of innovative performance metrics.
B)The use of periodic physical counts of inventory and reconciliation of those counts to recorded quantities.
C)The use of encryption.
D)The use of production planning systems.

Question

Quizplus · Accepted Answer

The use of production planning systems can help to minimize the threat of over- and underproduction by providing a detailed plan and forecast of production needs based on demand and inventory levels. This can help to ensure that the right amount of products is produced at the right time, reducing the risk of excess inventory or stock shortages. Options A, B, and C may be useful for other purposes but are not directly related to minimizing the threat of over- and underproduction.

Which of the Following Controls Can Minimize the Threat of Over-