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APICS
QuestionNumber:
1
BusinessWideConcepts
Inordertomaximizeprofit,acompanymusthaveallofthefollowingobjectivesexcept:
A)Bestcustomerservice
B)Mostaccurateproductionforecast
C)Lowestinventoryinvestment
D)Lowestdistributioncost
Thecorrectansweris:
B
QuestionNumber:
2
BusinessWideConcepts
Theinventoryturnsratiomeasures:
A)theamountofinventoryneededtosupportsalesgrowth.
B)obsoleteinventoryasapercentofsales.
C)howeffectivelyinventoryisbeingused.
D)theamountofspaceneededtostoreinventory.
Thecorrectansweris:
C
QuestionNumber:
4
BusinessWideConcepts
Inwhichofthefollowingmanufacturingenvironmentswouldconsumerproducts,suchasfilm,food,etc.beclassified?
A)Assemble-to-order
B)Engineer-to-order
C)Make-to-order
D)Make-to-stock
Thecorrectansweris:
D
QuestionNumber:
5
BusinessWideConcepts
Manydifferentenditemsaremadefromasmallnumberofcomponents.Whatmanufacturingenvironmentwouldthisbe?
A)Make-to-stock
B)Make-to-order
C)Assemble-to-order
D)Engineer-to-order
Thecorrectansweris:
B
QuestionNumber:
6
BusinessWideConcepts
Aggregateinventorymanagementisconcernedwith:
A)managinginventoryitemsandhowtheyareused.
B)establishingtheproductionplan.
C)thecostandbenefitsofcarryingthedifferentclassesofinventory.
D)thedistributionnetworkandthemovementofinventory.
Thecorrectansweris:
C
QuestionNumber:
7
BusinessWideConcepts
Whichofthefollowingareobjectivesofinventory?
I.Maximizecustomerservice
II.Efficienttransaction
III.Lowcostplantoperations
IV.Minimuminventoryinvestment
A)I,II,andIII
B)I,III,andIV
C)I,II,andIV
D)II,III,andIV
Thecorrectansweris:
B
QuestionNumber:
8
BusinessWideConcepts
Whichofthefollowingwouldbeincludedinthecostofcarryinginventory?
I.Heatingandlightingawarehouse
II.Obsoleteinventory
III.Labortomovematerial
IV.Damagedinventory
A)I,II,andIII
B)II,III,andIV
C)I,III,andIV
D)I,II,III,andIV
Thecorrectansweris:
D
QuestionNumber:
10
BusinessWideConcepts
TheJust-in-Timephilosophycanbebestdefinedas:
A)Deliveringgoodsjustbeforetheyareneeded
B)Fulfillingcustomerordersjustastheyareneeded
C)Manufacturingwithoutinventory
D)Eliminationofwaste
Thecorrectansweris:
D
QuestionNumber:
14
BusinessWideConcepts
Theannualcostofgoodssoldforacompanyis$40millionandtheaverageinventoryis$10million.Byhowmuchwouldtheinventoryneedtobereducedtohaveannualinventoryturnsequal20turns?
A)$2million
B)$4million
C)$6million
D)$8million
Thecorrectansweris:
D
QuestionNumber:
16
BusinessWideConcepts
Eveninanintermittentmanufacturingshop,certainJITprinciplescanbeapplied.Whichofthefollowingprinciplescanbeusedinanintermittentmanufacturingshop?
I.Employeeinvolvement
II.Totalpreventivemaintenance
III.Inventoryreduction
IV.Continuousflowlines
A)IandIII
B)IIandIV
C)I,II,andIII
D)I,II,III,andIV
Thecorrectansweris:
C
QuestionNumber:
18
BusinessWideConcepts
Whichofthefollowingstatementswouldbetrueregardingthedeliverytimeinanengineertoordercompany?
A)Deliverytimeisshorterthanamake-to-ordercompany.
B)Itwouldbethesameasamake-to-stockitem.
C)Itwouldbelongerthananassemble-to-ordercompany.
D)Itwouldbeshorterthananassemble-to-ordercompany.
Thecorrectansweris:
C
QuestionNumber:
19
BusinessWideConcepts
Anincomestatementofacompanywillshowwhichofthefollowing?
A)Inventorylevels
B)Longtermdebt
C)Costofproductssold
D)Netcashavailable
Thecorrectansweris:
C
QuestionNumber:
21
BusinessWideConcepts
Asupervisor'sprimaryroleinatotalemployeeinvolvementcompanyis:
A)controlling.
B)cheerleading.
C)coaching.
D)qualitycontrol.
Thecorrectansweris:
C
QuestionNumber:
22
BusinessWideConcepts
Conformancecanbebestdescribedas:
A)makingthehighestqualityproducts.
B)meetingthespecifiedrequirements.
C)workingtogetherasateam.
D)flowingproductthroughcells.
Thecorrectansweris:
B
QuestionNumber:
23
BusinessWideConcepts
Whichofthefollowingbestdefinesthetermbreakevenpoint?
A)Thepointatwhichaproductfails
B)Currentassets=currentliabilities
C)Requiredcapacity=availablecapacity
D)Revenues=totalcosts
Thecorrectansweris:
D
QuestionNumber:
24
BusinessWideConcepts
InaJITmanufacturingenvironment,wastecanbedescribedas:
A)componentscrap.
B)overtime.
C)anyprocesswhichdoesnotaddvalue.
D)anyoverheadprocess.
Thecorrectansweris:
C
QuestionNumber:
25
BusinessWideConcepts
Whichofthefollowingmanufacturedproducttypesarebestsuitedforflowmanufacturing?
A)Widerangeofdisparateproducts
B)Limitedrangeofsimilarproducts
C)Lowvolumeofsimilarproducts
D)Highvolumeofdisparateproducts
Thecorrectansweris:
B
QuestionNumber:
26
BusinessWideConcepts
Thekeycomponenttoquickchangeoversis:
A)dramaticallyreducedsetuptimes.
B)availabilityofmaterialstorunwhenthechangeoveriscomplete.
C)expensivemachineswhichchangeoverautomatically.
D)largeenoughlotsizessochangeoversarenotcritical.
Thecorrectansweris:
A
QuestionNumber:
28
BusinessWideConcepts
ThekeydriverinaTotalQualityManagement(TQM)companyshouldbe:
A)lowercosts.
B)trainingemployees.
C)problemsolvingtools.
D)customerneeds.
Thecorrectansweris:
D
QuestionNumber:
29
BusinessWideConcepts
Qualitycanbestbedefinedas:
A)jobone.
B)meetingorexceedingtheusers'expectations.
C)thebestproductproduced.
D)zerodefects.
Thecorrectansweris:
B
QuestionNumber:
30
BusinessWideConcepts
Inaflowmanufacturingenvironment,productwillgenerallyflowconsistentlyandconstantly.Asaresult,thereislittletimetodoinventorytransactionstorecordthemovementofpartsthroughtheline.Toovercomethis,manycompaniesrecordtheirinventorybyusing:
A)preflushing.
B)Kanban.
C)cyclecounts.
D)backflushing.
Thecorrectansweris:
D
QuestionNumber:
31
BusinessWideConcepts
Demandonaworkcenteriscausedbythenextworkcenter.Productisnotmadeunlesssignaledbythenextworkcenter.Thisiscalled:
A)pushsystem.
B)pullsystem.
C)demandsystem.
D)MRPIIsystem.
Thecorrectansweris:
B
QuestionNumber:
32
BusinessWideConcepts
Foracompany,quicksetupandchangeoverprovideacompetitiveadvantage.Whichofthefollowingareadvantagescreatedbyquickchangeovers?
I.Reducedmanufacturingleadtime
II.Improvedquality
III.Improvedmaintenance
IV.Reducedwork-in-process
A)I,II,andIII
B)I,II,andIV
C)II,III,andIV
D)I,II,III,andIV
Thecorrectansweris:
B
QuestionNumber:
33
BusinessWideConcepts
Theconceptoflinearitycanbebestdescribedas:
A)balancingtheworkateachworkstation.
B)capacityavailableforthelinetowork.
C)schedulingjobswithsimilarsetuptimes.
D)achievingtheplan;nomore,noless.
Thecorrectansweris:
D
QuestionNumber:
35
BusinessWideConcepts
Whendoesafirst-articleinspectionoccur?
A)Afterthesetupiscomplete
B)Whentheorderisreleased
C)Afterthemachineismaintained
D)Aftertraininghasoccurred
Thecorrectansweris:
A
QuestionNumber:
36
BusinessWideConcepts
Whichofthefollowingbestdefinesthetermquality?
A)Passing98%ofthetesting
B)Conformancetorequirements
C)Bestintheindustry
D)CompletingISOdocumentation
Thecorrectansweris:
B
QuestionNumber:
39
BusinessWideConcepts
Generallyspeaking,purchasingcanhavethegreatestimpactonthenetincomeofacompanythananyotherdepartment.Thisisduetothefactthat:
A)manufacturingreliesonpurchasingtoidentifyqualitysuppliers.
B)buyersworkveryhardatsourcing.
C)supplierswanttoreducetheirpricestogoodcustomers.
D)materialsusuallyrepresentthelargestcostinacompany.
Thecorrectansweris:
D
QuestionNumber:
41
BusinessWideConcepts
Thepracticeofgivingnon-managerialemployeesresponsibilityanddecisionmakingauthorityintheirdailyworkisbestdefinedasemployee:
A)productivity.
B)empowerment.
C)involvement.
D)management.
Thecorrectansweris:
B
QuestionNumber:
42
BusinessWideConcepts
Acompanyisplanningtoaddnewdistributionchannels,innewgeographicregions,andnewproductstosupportthisinitiative.Thisinformationwouldmostlikelybefoundinthecompany's:
A)strategicplan.
B)financialplan.
C)productionplan.
D)supplychainplan.
Thecorrectansweris:
A
QuestionNumber:
45
BusinessWideConcepts
Averyimportantaspectofleanmanufacturingisaprocesscalled5S.5Scanbebestdescribedaswhichofthefollowing?
A)Asimplelinedesignprocess
B)Anorganizationandcleanupprocess
C)Asetupreductionprocess
D)Akanbancalculationprocess
Thecorrectansweris:
B
QuestionNumber:
46
BusinessWideConcepts
"Askwhy5times"isaterrifictoolusedincontinuousimprovementprojects.Itisbestusedfor:
A)identifyingqualitydefects.
B)identifyingvalueaddedoperations.
C)identifyingwastedactivities.
D)identifyingrootcauses.
Thecorrectansweris:
D
QuestionNumber:
47
BusinessWideConcepts
Acompanyisoperatingasaleanmanufacturer.Whichofthefollowingfunctionsarestill,mostlikely,neededfromtheirERPsystem?
A)Forecastingandmaterialplanning
B)Inventoryissuestoaworkorder