1) Just in time production means.... a) Inventory arrives when it is needed to be used in production b) The business will overstock inventory c) The business will understock inventory 2) Capital intensive production is a) When mainly machinery is used in production b) When humans are mainly used in production c) When new employees produce the products 3) An advantage of labour intensive production is... a) Humans don't need a break b) Products can be mass produced c) Products can be custom made 4) An advantage of capital intensive production is... a) Products are all standardised b) Machinery is expensive c) Products can be custom made 5) Buffer inventory is... a) Inventory held as an emergency reserve b) The highest quantity of inventory a business will hold c) The lowest amount of inventory a business will hold 6) Lead time is... a) The length of time it takes to order the inventory b) The time between ordering inventory and the inventory arriving 7) Re-order level is... a) The level at which more inventory is ordered b) The inventory held as an emergency reserve c) When inventory is at the highest level

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