Holdings of partially finished components involve inventories of ________.
A)Tobin's q
B)work in process
C)production smoothing
D)stock-out components

Question

Quizplus · Accepted Answer

Work in process refers to partially finished components that are in the middle of a manufacturing process. Holding inventories of work in process allows for the production process to continue smoothly and efficiently without stock-outs or delays. Tobin's q is a ratio used to measure a firm's market value to its assets, and production smoothing refers to strategies used to even out production levels over time. Stock-out components refer to inventories that have completely run out of a particular item.

Holdings of Partially Finished Components Involve Inventories of ________