May just-in-time method leads to : 1- Higher carrying cost 2- Lower carrying cost 3- No effect in the carrying cost

Answer2 is correct. JIT leads to lower carrying cost .Because it depends on the suppliers

It generally makes a higher carrying costs especially for companies with a high production. To implement this method, or you will need to set up a team responsible of the inventory follows (payroll cost) or an ERP (investment cost).