The advantages of a just-in-time inventory system include all of the following except:

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A just-in-time inventory system aims to minimize inventory levels and maintain only the necessary inventory to meet customer demand. This approach can lead to a reduction in storage and warehousing costs, as well as a reduction in working capital requirements and costs associated with recordkeeping. However, one disadvantage of this system is the increased risk of stockouts, which can result in lost sales and dissatisfied customers. Therefore, option B, the cost associated with stockouts, is not an advantage of a just-in-time inventory system.

The Advantages of a Just-In-Time Inventory System Include All of the Following