This quiz works best with JavaScript enabled. Home > Accounting > Inventory Production > Inventory And Production Management > Inventory And Production Management – Quiz 4 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Inventory And Production Management Quiz 4 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Which of the following provides a buffer for seasonal demand? A) Anticipation inventory. B) Fluctuation inventory. C) Lot-size inventory. D) Decoupling inventory. Show Answer Correct Answer: A) Anticipation inventory. 2. The following are examples of the costs of holding stock except: A) Wastage. B) Opportunity cost. C) Purchase cost. D) Storage cost. Show Answer Correct Answer: C) Purchase cost. 3. A box of Kellog's Corn Flakes is an example of what type of good? A) Raw material. B) Finished. C) Intermediate. D) None of above. Show Answer Correct Answer: B) Finished. 4. The old standard of replying to chats of patients making purchases online is A) 30 minutes. B) 10 minutes. C) <5 minutes. D) 5 minutes. Show Answer Correct Answer: C) <5 minutes. 5. What type of inventory management is there for retailers that manufacture their own products. These are unfinished items or components currently in-production, but not yet ready for sale? A) Raw Materials. B) Just in Time. C) Finished goods. D) Work-in-progress. Show Answer Correct Answer: D) Work-in-progress. 6. Inventory is another word for: A) Stock. B) Finance. C) Staff. D) Managers. Show Answer Correct Answer: A) Stock. 7. Additional preparations held to protect or take care of the possibility of a shortage of goods / materials are A) Saldo Stock. B) Status Stock. C) Level Stock. D) Safety Stock. Show Answer Correct Answer: D) Safety Stock. 8. When demand is steady, cycle inventory and lot size are related as A) Cycle Inventory = Q/2. B) Cycle Inventory = lot size = Q. C) Cycle Inventory = Q*2. D) Cycle Inventory = lot size x 2. Show Answer Correct Answer: A) Cycle Inventory = Q/2. 9. The order cost per order of an inventory is RM400 with an annual carrying cost of RM10 per unit. The economic Order Quantity (EOQ) for an annual demand of 2000 units A) 440. B) 400. C) 500. D) 480. Show Answer Correct Answer: B) 400. 10. Responsible for the movement and storage of materials as they move through the supply chain A) Logistics. B) Logistics Management. C) Supply Chain Management. D) Material Handling. Show Answer Correct Answer: A) Logistics. 11. Buffering Uncertainty is related to what? A) Maintained at different locations. B) Speed at the entire process. C) Elapsed the between inventory. D) Demand in excess of forecast. Show Answer Correct Answer: D) Demand in excess of forecast. 12. The cost of Insurance and Taxes are included in A) Inventory Carrying cost. B) Set up cost. C) Cost of ordering. D) Cost of shortage. Show Answer Correct Answer: A) Inventory Carrying cost. 13. Managing purchases may also include ..... A) Buying too little product. B) Selecting the correct amount of product. C) Buying too much product. D) Not buying anything. Show Answer Correct Answer: B) Selecting the correct amount of product. 14. Total storage cost =? A) Storage cost + carrying cost. B) Average inventory x ordering cost per unit. C) Number of times orderd x cost per order. D) Average cost x storage cost per unit. Show Answer Correct Answer: D) Average cost x storage cost per unit. 15. Which type of retail inventory management is where a company sells in multiple different places, usually a combination of online websites and marketplaces? A) Online. B) Multichannel. C) Offline. D) Omnichannel. Show Answer Correct Answer: B) Multichannel. 16. What type of retail inventory management is where a company sells over the internet via an ecommerce website or marketplace? A) Offline. B) Omnichannel. C) Online. D) Multichannel. Show Answer Correct Answer: C) Online. 17. Move materials through the operations within the organization A) Material Management. B) Inbound Logistics. C) Inward transport or traffic. D) Material Handling. Show Answer Correct Answer: D) Material Handling. 18. Which of the following costs is NOT considered a carrying cost for inventory? A) Storage costs. B) Capital costs. C) Distribution costs. D) Inventory insurance costs. Show Answer Correct Answer: C) Distribution costs. 19. To avoid stock outs (shortage/out of stock), a safety stock function called ..... is held. A) Reorder Point. B) Economic Order Quantity. C) Safety Stock. D) Deadline lead time. Show Answer Correct Answer: C) Safety Stock. 20. What does redata mean? A) Performance Realization Report. B) Daily report. C) Credit report. D) Sales report. Show Answer Correct Answer: A) Performance Realization Report. 21. Which of the following company objectives are in conflict? A) Maximum customer service and low-cost plant operation. B) Low-cost plant operation and cash flow. C) Maximum inventory investment and customer service. D) High cash flow and profitability. Show Answer Correct Answer: A) Maximum customer service and low-cost plant operation. 22. The branch of business management concerned with planning and controlling inventories. A) Physical Inventory. B) Inventory Order System. C) Inventory Management. D) Inventory Planning. Show Answer Correct Answer: C) Inventory Management. 23. How many aspects are there in the Segment Strategy Definition? A) 4. B) 5. C) 3. D) 6. Show Answer Correct Answer: A) 4. 24. The following things make inventory inefficient, EXCEPT A) Overstock. B) Fast Moving Part. C) Parts Damaged. D) Dead Stock. Show Answer Correct Answer: B) Fast Moving Part. 25. What does HIFO, an inventory method based upon the concept of the inventory costing the most will be the first to be used or taken out of stock, stand for? A) High-Priced In, First Out. B) Heaviest In, First Out. C) Highest In, First Out. D) Handiest In, First Out. Show Answer Correct Answer: C) Highest In, First Out. 26. JIT is likely to be of most use in which one of the following situation? A) A product with constant demand. B) A specilised product unique to each costumer. C) A product with unpredictable demand. D) A product with long delivery lead time. Show Answer Correct Answer: A) A product with constant demand. 27. An example of a good vendor would be ..... A) A nearby vendor who is unreliable. B) A far away vendor who is unreliable. C) A nearby vendor who is reliable. D) A far away vendor who is reliable. Show Answer Correct Answer: C) A nearby vendor who is reliable. 28. Too little inventory leads to ..... A) Inventory Procedures. B) Frequent reordering. C) Wasted money. D) Shortage cost. Show Answer Correct Answer: B) Frequent reordering. 29. The following factors affect HPP, except: A) Purchase. B) Stick Recording. C) Purchase return. D) Sale. Show Answer Correct Answer: C) Purchase return. 30. Subset of the larger Supply Chain Management A) Logistics Management. B) Logistics. C) Warehousing. D) Supply Chain Management. Show Answer Correct Answer: A) Logistics Management. ← PreviousNext →Related QuizzesInventory Production QuizzesAccounting QuizzesInventory And Production Management Quiz 1Inventory And Production Management Quiz 2Inventory And Production Management Quiz 3Inventory And Production Management Quiz 5Inventory And Production Management Quiz 6 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books