This quiz works best with JavaScript enabled. Home > Accounting > Inventory Production > Inventory And Production Management > Inventory And Production Management – Quiz 6 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Inventory And Production Management Quiz 6 (23 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. The total time it takes from placing an order until it is received is known as: A) Lead time. B) Turnover rate. C) Stockout. D) Inventory shrinkage. Show Answer Correct Answer: A) Lead time. 2. Among different types of costs associated with inventory, the opportunity cost of the investment tied up in inventory is a(n) ..... A) Purchasing cost. B) Ordering cost. C) Stockout cost. D) Holding cost. Show Answer Correct Answer: D) Holding cost. 3. General term for the activities that deliver finished goods to customers A) Physical Distribution Management. B) Supply Chain Management. C) Logistics Mangement. D) Material Management. Show Answer Correct Answer: A) Physical Distribution Management. 4. A blending of interactive digital elements like dazzling visual overlays or other sensory projections is accomplished through: A) UPC. B) RFID. C) Augmented Reality. D) QR Codes. Show Answer Correct Answer: C) Augmented Reality. 5. Calculate how much is the pharmacy's margin if using a selling factor of 1.25? A) 4%. B) 25 %. C) 15 %. D) 20 %. Show Answer Correct Answer: D) 20 %. 6. Keeping a minimal amount of production materials or sales inventory on hand at all times is known as: A) Inventory control. B) Perpetual inventory. C) JIT inventory. D) Periodic inventory. Show Answer Correct Answer: C) JIT inventory. 7. The average distance between each data value and the mean.A way to describe the variation in a data set. A) Mean Absolute Deviation. B) Economic Order Quantity. C) Work in Process. D) Reorder Quantity. Show Answer Correct Answer: A) Mean Absolute Deviation. 8. Dependent demand is A) The demand for item is dependent upon the demand for some other item. B) Used when intervory builds up over a period of time after an order is placed. C) The costs of placing an order and receiving goods. D) None of above. Show Answer Correct Answer: A) The demand for item is dependent upon the demand for some other item. 9. More oriented to building long-term relationshipswith fewer, but more dependable suppliers. A) Contemporary procurement. B) Traditional Purchasing. C) Traditional procurement. D) Contemporary purchasing. Show Answer Correct Answer: D) Contemporary purchasing. 10. ..... is a target inventory of what you think youwill need to keep in stock. A) Money. B) Model inventory. C) Target inventory. D) Vendors. Show Answer Correct Answer: B) Model inventory. 11. How many method under quantity discount? A) 1. B) 4. C) 3. D) 2. Show Answer Correct Answer: D) 2. 12. Act of working effectively with others to achieve a common goal A) Employment. B) Taxable income. C) Supply chain management. D) Collaboration. Show Answer Correct Answer: D) Collaboration. 13. A count of all product that has completed the manufacturing process and is ready to be shipped or sold. A) Stock Keeping Unit. B) Inventory Shrinkage. C) Finished Goods Inventory. D) Safety Stock. Show Answer Correct Answer: C) Finished Goods Inventory. 14. A factor involved in the cost of inventory that is outdated is considered: A) Back order. B) Obsolence. C) Finished Good. D) Seasonality. Show Answer Correct Answer: B) Obsolence. 15. Types of inventory A) Raw Material. B) Work in Process. C) Finished Products. D) All of the above. Show Answer Correct Answer: D) All of the above. 16. The time from when an order is placed to when it is received by the customer is known as: A) Dispatch time. B) Lead time. C) Delivery time. D) Wait time. Show Answer Correct Answer: B) Lead time. 17. Costs incurred because goods/materials are in inventory are called A) Tax costs. B) Save Cost. C) Insurance fee. D) Cost of Capital. Show Answer Correct Answer: B) Save Cost. 18. The process of buying and storing materials and products while controlling costs for ordering, shipping, handling, and storage is known as: A) Distribution. B) Inventory management. C) Supply chain. D) Material Handling. Show Answer Correct Answer: B) Inventory management. 19. An inventory item A) Usage. B) Finished Goods. C) Stock Keeping Unit. D) Safety Stock. Show Answer Correct Answer: C) Stock Keeping Unit. 20. A system for inventory management would be A) Throwing everything in a random spot. B) Being unorganized. C) Material grouping. D) None of the above. Show Answer Correct Answer: C) Material grouping. 21. Inventory management ..... A) Improves cash flow. B) Keeps your inventory organized and accounted for. C) Helps save on storage costs. D) All of the above. Show Answer Correct Answer: D) All of the above. 22. Given the information below;D-4000 per yearHC-RM 9 per yearSetup cost-RM25Lead time-5 daysWorking days per year-250 daysCalculate EOQ, ROP and Average Q. Choose the right answer. A) 146.07, 80, 80. B) 149.07, 80, 74.55. C) 148.07, 80, 75. D) 145.08, 79.90, 76. Show Answer Correct Answer: B) 149.07, 80, 74.55. 23. This refers to items that the manufacturer has purchased or produced to use in manufacturing a product. A) Raw material inventory. B) Work in process inventory. C) Finished good inventory. D) None of above. Show Answer Correct Answer: A) Raw material inventory. ← PreviousRelated QuizzesInventory Production QuizzesAccounting QuizzesInventory And Production Management Quiz 1Inventory And Production Management Quiz 2Inventory And Production Management Quiz 3Inventory And Production Management Quiz 4Inventory And Production Management Quiz 5 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books