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1. Which of the following inventory management techniques is most responsive to changes in demand levels?

2. The most relevant measure of customer service performance Is:

3. The primary outcome of frequent replenishments in a distribution requirements planning (DRP) system is that:

4. A company that uses concurrent engineering is likely to experience which of the following outcomes in the first period of a product's life cycle?

5. The trade-off of increasing safety stock to improve customer fill rate would be a decrease in:

6. A manufacturer has a forecasted annual demand of 1,000,000 units for a new product. They have to choose 1 of 4 new pieces of equipment to produce this product. Assume that revenue will be $10 per unit for all 4 options.

Which machine will maximize their profit if the manufacturer anticipates market demand will be steady for 3 years and there is no residual value for any of the equipment choices?

MachineFixed CostVariable Cost per UnitAnnual Capacity

AS100.000$6 00800,000 units

B$200,000$5 501.000,000 units

C$250,000$5 001,200,000 units

D$1 000.000$4 501 400.000 units

7. How would a master production schedule (MPS) be used In an assemble-to-order (ATO) manufacturing environment?

8. The question below is based on the following standard and actual data of a production order

Which of the following statements about variances is true?

9. The demand for an item has increasing forecast error, whereas all other factors remain constant.

Which of the following remains constant while maintaining the same customer service level?

10. Price negotiation is most appropriate when purchasing which of the following product categories?

11. Which of the following statements characterizes a pull system In distribution management?

12. A life cycle assessment (LCA) would be used to determine:

13. Components of an organization's Immediate industry and competitive environment Include:

14. A plant uses a level production strategy due to the high costs of hiring and letting go of skilled employees. The constrained resource is due to be upgraded in the fourth month of the planning horizon, and that will reduce capacity for that month by 17%.

Which of the following actions would be appropriate in this situation to maintain current levels of customer service and gross margin?

15. Which of the following statements correctly describes the relationship between the strategic plan and the business plan?

16. An example of an assignable cause of variation in process performance is:

17. In choosing suppliers, a company wishes to maintain maximum leverage to reduce costs.

Which of the following supply chain strategies would provide this opportunity?

18. A company selling seasonal products is preparing their sales and operations plan for the coming year. Their current labor staffing is at the maximum for their production facility and cannot meet the forecasted demand. The business plan shows they do not have the financial capability to add to the production facility.

Which of the following actions would be most appropriate?

19. A company confirms a customer order based on available capacity and inventory, even though the current production plan does not cover the entire order quantity.

This situation is an example of what type of order fulfillment policy?

20. We have observed the inventory system does not handle plastic parts well."

What should be added to the problem statement to make it more useful?

21. Which of the following capacity planning methods uses the master production schedule (MPS) as its primary input?

22. A work center has 3 machines that are all run at the same time with a single worker. The work center has an efficiency of 75% and a utilization of 100%.

What is the work center's capacity in standard hours for an 8-hour shift?

23. An example of a cradle-to-cradle sustainability model would be:

24. A low-cost provider strategy works best when which of the following conditions are met?

25. In which of the following phases of the product life cycle is product price most effective in influencing demand?

26. Information regarding a major new customer is received from sales. The company's most appropriate initial response would be to adjust the:

27. Forecast error typically triggers forecast revision when it is:

28. Which of the following planning modules considers the shortest-range planning goals?

29. Moving average forecasting methods are best when demand shows:

30. An advantage of applying ABC classification to a firm's replenishment items is that:

31. Improvements in an Input/output control (I/O control) system will most likely lead to:

32. An order winner during the growth stage of a product's life cycle is:

33. Labor3 people

Work hours10 hours per day

Days4 days per week

Meetings with work area employees1/2 hour per day

Work area efficiency85%

Given the information above, what is the weekly theoretical capacity of this work area in hours?

34. The primary reason for tracing a component with scheduling problems to Its master production schedule (MPS) item is to:

35. A company has a demand for 30 units of A, 40 units of B, and 50 units of C. These products are scheduled to run daily in batches of 10 as follows: ABC, ABC, ABC, CBC.

What is this scheduling technique called?

36. Which of the following circumstances would cause a move from acceptance sampling to 100% inspection?

37. Which of the following methods places a replenishment order when the quantity on hand falls below a predetermined level?

38. Which of the following tools is used to evaluate the impact that a production plan has on capacity?

39. The question below is based on the following information:

Beginning inventory = 43Week 1Week 2Week 3

Forecast202020

Customer orders221710

Projected on-hand

Master production schedule (MPS)80

Available-to-promise (ATP)

What is the largest customer order that could be accepted for delivery at the end of week 3 without making changes to the master production schedule (MPS)?

40. In Company XYZ, transaction-costing capability has been Integrated into the shop floor reporting system. A batch of 20 units was started in production. At the fourth operation, 20 units are reported as complete. At the fifth operation, 25 units are reported as complete.

When all operations are complete, 20 units are checked into the stockroom. If the error at the fifth operation is undetected, which of the following conditions will be true?