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C.Weeklyoutputpercomponent
D.Weeklyoutputperenditem
205.ThecorrectanswerisB.
Pipelineinventoryisstockkeptonhandtofillorderswhilethenextlotisintransit.Itisalsoknownastransportationinventory.
Inventoryheldtocovertransittimeiscalledwhichofthefollowing?
A.Work-in-processinventory
B.Pipelineinventory
C.Fluctuationinventory
D.Anticipatoryinventory
206.ThecorrectanswerisB.
Riskpoolingisameansofreducingtheriskofstockoutsbyconsolidatinginventoryinacentralwarehouse.Withalargerstoreofgoodsinthecentralwarehouse,eventhelargest,unexpectedorderwillhavelesschanceofexhaustingtheinventory,asitmightinasmallerwarehouse.Withfewerfacilitiesaddingsafetystocktotheirorders(plusthelowerstockoutrisk),thetotalamountofinventorycanbereduced,andlessinventorymeanslowerholdingandhandlingexpenses.Leadtimesmaygoup,however,fordeliveriesmadetocustomersthataremoredistantfromthecentralwarehousethanfromthesmallerfacilitiesitreplaced.
Whichofthefollowingmayincreaseasatradeoffwhenalogisticschaininstitutesriskpoolingbymovinginventoryfromseveralsmallerwarehousestoalargercentralstoragefacility?
A.Inventoryhandlingcosts
B.Deliveryleadtimes
C.Numberofstockouts
D.Totalamountofinventoryheldatonetime
207.ThecorrectanswerisD.
Retailtradeisforbiddeninsideaforeigntradezone.Alltheotheractivitiesarespecificallypermitted.
Whichoneofthefollowingisnotallowedinaforeigntradezone?
A.Repackagingorotherwisealteringcargotoremedypotentialcustomsviolations
B.Storinggoodstax-freeforanindefiniteperiodoftime
C.Performingbreak-bulkoperationstoreduceimportdutiesowed
D.Retailtrade
208.ThecorrectanswerisD.
Theroutingandworkcenterfilescontainallthetimesnecessarytocalculatethetotalleadtime.
Leadtimecanbedeterminedfromtheinformationinwhichofthefollowing?
A.Workcenterfile
B.Routingfile
C.Openorderfile
D.Bothaandb
209.ThecorrectanswerisC.
Thepublicbuildsandmaintainstheinfrastructureusedbytrucks,sotheyhavelowfixedcosts.Buttheyhaverelativelyhighvariablecostsforoperationandmaintenance.
Whichofthefollowingcorrectlyidentifiesthecoststructureoftrucking?
A.Lowfixedcosts,lowvariablecosts
B.Highfixedcosts,lowvariablecosts
C.Lowfixedcosts,highvariablecosts
D.Highfixedcosts,highvariablecosts
210.ThecorrectanswerisB.
Historicalanalogyforecastsusedemanddatafromoneproducttoforecastdemandforadifferentbutsimilarproduct,suchasanewproductforwhichnopastdataexist.
Whichofthefollowingforecastmethodspredictsdemandforoneproductbylookingatdatafromadifferentproduct?
A.Personalinsight
B.Historicalanalogy
C.Visionarymethod
D.Marketresearch
211.ThecorrectanswerisD.
Forecastdatashouldincludedemandforallproductoptionsaswellastotaldemandfortheproduct.Youwanttoknowwhenitemswereindemand,notwhentheywereshipped.Competitors'
productintroductionsarelikelytoaffectyourforecasts.Returnsandcancellationsshouldbesubtractedfromorderswhencalculatingactualdemand.
Whichoneofthefollowingrepresentsasoundapproachtotrackingdatatouseindemandforecasting?
A.Excludecancellationsandreturns.
B.Excludeconsiderationofcompetitors'
activities.
C.Includedatabyshipdate,notorderdate.
D.Includeallproductoptions.
212.ThecorrectanswerisC.
Incotermswerefirstissuedin1936bytheInternationalChamberofCommerce,whichhasupdatedthemseveraltimessincethentoreflectthechangingconditionsofinternationaltrade.
WhichoneofthefollowingentitiesisresponsibleforissuingandupdatingIncoterms?
A.WorldTradeOrganization
B.UnitedNations
C.InternationalChamberofCommerce(ICC)
D.U.S.DepartmentofCommerce
213.ThecorrectanswerisA.
Thethree-monthmovingaverageforecastforMayis20.33,whichistheaveragemonthlydemandforthemonthsfromFebruarythroughApril(17+22+22=61/3=20.33);
thenaiveforecastistakenfromtheperiodprecedingtheforecastperiod,whichinthiscaseis22,theactualdemandforMay.Notethatthenaiveforecast(22)ismorenearlyaccurateinthiscase,becauseitadjustsfasterthanthemovingaverage.However,itcouldjustaseasilyhavebeenlessaccurateifdemandhadchangedinadifferentdirectionorbyadifferentamou