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Accounting Information Systems

11th Edition
Ulric J. Gelinas + 3 others
ISBN: 9781337552127

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BuyFindarrow_forward

Accounting Information Systems

11th Edition
Ulric J. Gelinas + 3 others
ISBN: 9781337552127
Textbook Problem

From the inventory perspective, what is the advantage of producing goods as customer orders are received?

Summary Introduction

To determine: The advantage of producing goods, as customers’ orders are received.

Introduction:

Accounting Information System (AIS) is said to be the specialized subsystem of the Information System (IS). AIS can be used in the business events for the purpose of collecting, processing, and reporting the financial information.

Explanation

Determine the advantage of producing goods, as customers’ orders are received:

Producing goods, as customers’ orders received is said to be JIT (Just-In-Time) manufacturing and it usually follows pull manufacturing technique. In pull manufacturing, the production plan will be based on the received individual sales order. Each job would have a batch of one unit...

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