CII SCM EXE Mock Examination

Topic:- CII SCM EXE Mock M1

1) For the Ford car company, the fabric manufacturer for seat covers is a ________ supplier.
[Question ID = 23384]

1. Tier 1 [Option ID = 94944]

2. Tier 2 [Option ID = 94945]
3. Tier 3 [Option ID = 94946]
4. Raw material [Option ID = 94947]

Correct Answer :-
Tier 2 [Option ID = 94945]

2) Find the economic value added, when the net operating profit after taxes is 200,000, capital
investment is 10,000 and cost of capital is 55%. [Question ID = 23385]

1. 200,000 [Option ID = 94948]

2. 205,500 [Option ID = 94949]
3. 194,500 [Option ID = 94950]
4. 115,500 [Option ID = 94951]

Correct Answer :-
194,500 [Option ID = 94950]

3) Which of the following are constitute the SCOR model? [Question ID = 23396]

1. Plan, source, Make and deliver [Option ID = 94992]

2. Plan, Source and Deliver [Option ID = 94993]
3. Plan, Source, deliver and Return [Option ID = 94994]
4. Plan, Source, Make, Deliver and Return [Option ID = 94995]

Correct Answer :-
Plan, Source, Make, Deliver and Return [Option ID = 94995]

4) Consider you travel by diesel car to office for 8kms per day. The mileage of car is 20kmpl and you
work for 200 days in a year. The CO2 emission factor for Diesel is 2.7458 kg CO2/l. How much CO2
emission do you make per year?

[Question ID = 23395]

1. 219.66 Kg CO2 [Option ID = 94988]

2. 11654.16 Kg CO2 [Option ID = 94989]
3. 4393.28 Kg CO2 [Option ID = 94990]
4. 1456 Kg CO2 [Option ID = 94991]
Correct Answer :-
219.66 Kg CO2 [Option ID = 94988]

5) Which one of the following statements is not correct? [Question ID = 23389]

1. On time availability increases sales revenue [Option ID = 94964]

2. On time availability increases profit [Option ID = 94965]
3. On time availability increases returns on investment [Option ID = 94966]
4. On time availability increases working capital [Option ID = 94967]

Correct Answer :-
On time availability increases working capital [Option ID = 94967]

6) Sales of fashion goods is an example of ____________ supply chain. [Question ID = 23387]

1. Market responsive [Option ID = 94956]

2. Leagile [Option ID = 94957]
3. Hybrid [Option ID = 94958]
4. Agile [Option ID = 94959]

Correct Answer :-
Agile [Option ID = 94959]

7) The technology used in cooperative collaboration, where only the required information is shared
with the partners, is:- [Question ID = 23397]

1. MRP [Option ID = 94996]

2. EDI [Option ID = 94997]
3. BOM [Option ID = 94998]
4. CPFR [Option ID = 94999]

Correct Answer :-
EDI [Option ID = 94997]

8) _____________ is the performance measure used to understand the intermediate steps in

producing a product. [Question ID = 23388]

1. Input Measure [Option ID = 94960]

2. Output Measure [Option ID = 94961]
3. Process Measure [Option ID = 94962]
4. Impact Measure [Option ID = 94963]

Correct Answer :-
Process Measure [Option ID = 94962]

9) The process of comparing the performance of different warehouses at various locations

belonging to the same organization to improve its standards is called ___________ benchmarking.
[Question ID = 23386]

1. Best in Class [Option ID = 94952]

2. Benchmarking from investors perspective [Option ID = 94953]
3. Internal [Option ID = 94954]
4. External [Option ID = 94955]

Correct Answer :-
Internal [Option ID = 94954]

10) Find the cash to cash cycle of the firm, when the accounts payable is 45 days, accounts
receivables is 30 days and holds 45 days of Inventory. [Question ID = 23393]

1. 30 days [Option ID = 94980]

2. 75 days [Option ID = 94981]
3. 60 days [Option ID = 94982]
4. 45 days [Option ID = 94983]

Correct Answer :-
30 days [Option ID = 94980]

11) A company has yearly sales of Rs. 550000 with the gross profit for the same year is Rs.
150000 and the average inventory maintained is around Rs. 200000. What will be the Inventory
turnover ratio?

[Question ID = 23390]

1. 3 [Option ID = 94968]
2. 2.8 [Option ID = 94969]
3. 3.71 [Option ID = 94970]
4. 2 [Option ID = 94971]

Correct Answer :-
2 [Option ID = 94971]

12) In Supply chain scenario, return of empty Coca Cola bottles from retailers to the manufacturing
plant is called as _________. [Question ID = 23392]

1. Recycling of products [Option ID = 94976]

2. Reverse logistics [Option ID = 94977]
3. Return of goods [Option ID = 94978]
4. Reuse [Option ID = 94979]

Correct Answer :-
Reverse logistics [Option ID = 94977]

13) A supplier delivers 8 times late in their 100 deliveries measured. Every delayed event costs Rs.
15000 loss. What is the risk value associated with this event?

[Question ID = 23391]

1. 1200 [Option ID = 94972]

2. 12000 [Option ID = 94973]
3. 120000 [Option ID = 94974]
4. 120% [Option ID = 94975]

Correct Answer :-
 1200 [Option ID = 94972]

14) Failure of a machine is an example of ___________ risk. [Question ID = 23394]

1. Demand [Option ID = 94984]

2. Supply [Option ID = 94985]
3. Environmental [Option ID = 94986]
4. Process [Option ID = 94987]

Correct Answer :-
Process [Option ID = 94987]

15) _______ is a supply chain driver, which helps you plan as what to produce, how much to
produce, when to produce. [Question ID = 23398]

1. Demand Planning [Option ID = 95000]

2. Sourcing [Option ID = 95001]
3. Transportation [Option ID = 95002]
4. Information [Option ID = 95003]

Correct Answer :-
Demand Planning [Option ID = 95000]

Topic:- CII SCM EXE Mock M2

1) As per economics of distance, which one is best suited? [Question ID = 23419]

1. Freight rate increases as distance increases [Option ID = 95084]

2. Freight rate increases as Kg increases [Option ID = 95085]
3. As distance increases, and Kg increases, the freight rate decreases [Option ID = 95086]
4. As distance increases, and Kg increases, the freight rate increases [Option ID = 95087]

Correct Answer :-
As distance increases, and Kg increases, the freight rate decreases [Option ID = 95086]

2) What is the forecast error for the period of April when actual demand is 200pcs, forecast was 212
and the demand of March was 216pcs and its forecast was 212pcs? [Question ID = 23422]

1. -12 [Option ID = 95096]

2. 12 [Option ID = 95097]
3. -4 [Option ID = 95098]
4. 4 [Option ID = 95099]

Correct Answer :-
-12 [Option ID = 95096]

3) What would be the forecast for the month of April under Nave forecasting method when the
demand of Jan, Feb and March are 96, 98,100, it's forecasting for the same period is 94, 96, 98?
[Question ID = 23402]

1. 94 [Option ID = 95016]
2. 96 [Option ID = 95017]
3. 98 [Option ID = 95018]
4. 100 [Option ID = 95019]

Correct Answer :-
100 [Option ID = 95019]

4) The most time consuming forecasting method is:- [Question ID = 23415]

1. Jury [Option ID = 95068]

2. Delphi [Option ID = 95069]
3. Market research [Option ID = 95070]
4. Casual [Option ID = 95071]

Correct Answer :-
Jury [Option ID = 95068]

5) Which of the following supporting document is required for the accounts department after
receiving the goods in-house to proceed with payment? [Question ID = 23413]

1. Goods receipt note [Option ID = 95060]

2. Purchase order [Option ID = 95061]
3. Order acknowledgement copy [Option ID = 95062]
4. Advance shipping notice [Option ID = 95063]

Correct Answer :-
Goods receipt note [Option ID = 95060]

6) Keeping track of the purchase order is the job of:- [Question ID = 23405]

1. Purchasing dept [Option ID = 95028]

2. Stores dept [Option ID = 95029]
3. Accounts dept [Option ID = 95030]
4. User dept [Option ID = 95031]

Correct Answer :-
Purchasing dept [Option ID = 95028]

7) Calculate the economic order quantity when monthly demand is 500pcs, PO cost is Rs. 60,
Holding cost is 20?

[Question ID = 23403]

1. 189 [Option ID = 95020]

2. 54 [Option ID = 95021]
3. 1500 [Option ID = 95022]
4. 18000 [Option ID = 95023]

Correct Answer :-
189 [Option ID = 95020]

8) Which of the following is not a characteristic of forecast? [Question ID = 23420]

1. Long term forecast are less accurate than short term forecast [Option ID = 95088]
2. Aggregate forecasts are usually more accurate than disaggregate forecasting [Option ID = 95089]
3. Forecasts are almost always wrong [Option ID = 95090]
4. Forecasts depends on capacity of an organization [Option ID = 95091]

Correct Answer :-
Forecasts depends on capacity of an organization [Option ID = 95091]

9) Which of the following suits the best in describing the relation between Service level with
respect to inventory level? [Question ID = 23409]

1. Service level and inventory level increases proportionally [Option ID = 95044]

2. As service level increases, inventory level decreases [Option ID = 95045]
3. As service level decreases, inventory level increases [Option ID = 95046]
4. With a steady increase in service level, inventory level increases rapidly [Option ID = 95047]

Correct Answer :-
With a steady increase in service level, inventory level increases rapidly [Option ID = 95047]

10) Calculate the resulting cycle inventory when, lot size is 320, lead time is 12 days, Inventory
carrying cost is Rs. 25 and Set up cost is Rs. 60?

[Question ID = 23399]

1. 160 [Option ID = 95004]

2. 180 [Option ID = 95005]
3. 320 [Option ID = 95006]
4. 120 [Option ID = 95007]

Correct Answer :-
160 [Option ID = 95004]

11) The inventory that accumulates because of purchasing in lots is called as:- [Question ID =
23418]

1. Safety inventory [Option ID = 95080]

2. Pipeline inventory [Option ID = 95081]
3. Decoupling inventory [Option ID = 95082]
4. Cycle inventory [Option ID = 95083]

Correct Answer :-
Cycle inventory [Option ID = 95083]

12) Which mode of transportation is best for bulk coal transportation with low value? [Question ID
= 23423]

1. Rail [Option ID = 95100]

2. Road [Option ID = 95101]
3. Air [Option ID = 95102]
4. Pipeline [Option ID = 95103]

Correct Answer :-
 Rail [Option ID = 95100]

13) Calculate the safety stock when only demand is variable, with lead time is 7 days, standard
deviation of demand is 36 and service level of supplier is 90%(SL factor-1.28)? [Question ID =
23407]

1. 322 [Option ID = 95036]

2. 122 [Option ID = 95037]
3. 46 [Option ID = 95038]
4. 164 [Option ID = 95039]

Correct Answer :-
122 [Option ID = 95037]

14) In vendor managed inventory, which one of the following statement is correct? [Question ID =
23411]

1. Vendor owns the responsibility for replenishment [Option ID = 95052]

2. Customer monitors the level of inventory [Option ID = 95053]
3. Customer determines the demand required [Option ID = 95054]
4. Customer determines as when the items should reach [Option ID = 95055]

Correct Answer :-
Vendor owns the responsibility for replenishment [Option ID = 95052]

15) Calculate the holding cost of the product, when unit cost is Rs. 20, holding percentage is 15%,
lot size is 300pcs and demand is 7500pcs?

[Question ID = 23406]

1. Rs. 3 [Option ID = 95032]

2. Rs. 30 [Option ID = 95033]
3. Rs. 45 [Option ID = 95034]
4. Rs. 56 [Option ID = 95035]

Correct Answer :-
Rs. 3 [Option ID = 95032]

16) Calculate the total number of orders placed when the annual demand is 3000pcs, lots size is
100pcs, holding cost is Rs. 20 and ordering cost is Rs. 60 per PO?

[Question ID = 23410]

1. 30 [Option ID = 95048]
2. 180 [Option ID = 95049]
3. 60 [Option ID = 95050]
4. 90 [Option ID = 95051]

Correct Answer :-
30 [Option ID = 95048]
17) _________ indicates the rate at which the growth or decline of demand. [Question ID = 23414]

1. Trend [Option ID = 95064]

2. Level [Option ID = 95065]
3. Seasonality [Option ID = 95066]
4. Delphi [Option ID = 95067]

Correct Answer :-
Trend [Option ID = 95064]

18) Calculate the critical ratio, when overage cost(Co) is Rs. 2000 and underage cost(Cu) is Rs.
1600?

[Question ID = 23417]

1. 0.44 [Option ID = 95076]

2. 1.25 [Option ID = 95077]
3. 0.8 [Option ID = 95078]
4. 4 [Option ID = 95079]

Correct Answer :-
0.44 [Option ID = 95076]

19) The forecast on the growth of IT companies that would be in place by 2020 is an example of:-
[Question ID = 23401]

1. Causal forecast [Option ID = 95012]

2. Jury forecast [Option ID = 95013]
3. Time series forecast [Option ID = 95014]
4. Market research [Option ID = 95015]

Correct Answer :-
Causal forecast [Option ID = 95012]

20) __________ is a process that helps in the evaluation of supplier and reduce the risk in placing
orders. [Question ID = 23400]

1. Vendor Evaluation [Option ID = 95008]

2. Risk Management [Option ID = 95009]
3. Supplier Negotiation [Option ID = 95010]
4. Invitation of Quotation [Option ID = 95011]

Correct Answer :-
Vendor Evaluation [Option ID = 95008]

21) Which model of distribution is practiced by general courier or postal shipments? [Question ID =
23412]

1. Direct shipment [Option ID = 95056]

2. Cross docking [Option ID = 95057]
3. Hub and spoke model [Option ID = 95058]
4. Shipping via central distribution center [Option ID = 95059]
Correct Answer :-
Hub and spoke model [Option ID = 95058]

22) What is the forecast using exponential smoothing for 8th month when demand and forecast of
7th month is 180, 196 with smoothing constant is 0.3? [Question ID = 23416]

1. 191.2 [Option ID = 95072]

2. 184.8 [Option ID = 95073]
3. 187.5 [Option ID = 95074]
4. 187.8 [Option ID = 95075]

Correct Answer :-
191.2 [Option ID = 95072]

23) Printing up of new year greeting cards and building its inventories is an example of:- [Question
ID = 23408]

1. Seasonal inventory [Option ID = 95040]

2. Cycle inventory [Option ID = 95041]
3. Hedge inventory [Option ID = 95042]
4. Pipeline inventory [Option ID = 95043]

Correct Answer :-
Seasonal inventory [Option ID = 95040]

24) What is the Standard deviation when mean error is 25, mean absolute deviation is 30, mean
square error is 42 and mean absolute percentage error is 9? [Question ID = 23404]

1. 31.25 [Option ID = 95024]

2. 37.5 [Option ID = 95025]
3. 52.5 [Option ID = 95026]
4. 11.25 [Option ID = 95027]

Correct Answer :-
37.5 [Option ID = 95025]

25) Which one of the following is not a MRP input? [Question ID = 23421]

1. Master schedule [Option ID = 95092]

2. Bill of materials [Option ID = 95093]
3. Inventory records [Option ID = 95094]
4. Planned orders [Option ID = 95095]

Correct Answer :-
Planned orders [Option ID = 95095]

Topic:- CII SCM EXE Mock M3

1) _________ is not important in Supplier selection process. [Question ID = 23429]

1. Criticality of the product [Option ID = 95124]

2. Technical and Financial capability [Option ID = 95125]
3. Long term implication of internal capability [Option ID = 95126]
4. Number of years in business [Option ID = 95127]

Correct Answer :-
Number of years in business [Option ID = 95127]

2) Which one of the following is an example of Value chain concept by showing linkages with
Customer? [Question ID = 23427]

1. Cost of container forms a significant portion of cost of product [Option ID = 95116]

2. Cost of freight cost [Option ID = 95117]
3. Activity cost related to value added services provided [Option ID = 95118]
4. Inventory cost related to the cost of goods sold [Option ID = 95119]

Correct Answer :-
Cost of container forms a significant portion of cost of product [Option ID = 95116]

3) The process of starting from the point of sales inquiry to the delivery of a product to the
customer is called as _________. [Question ID = 23430]

1. Order Expediting [Option ID = 95128]

2. Order Fulfillment [Option ID = 95129]
3. Order Processing [Option ID = 95130]
4. Order Executing [Option ID = 95131]

Correct Answer :-
Order Fulfillment [Option ID = 95129]

4) 'Voice of the ______' must be heard by one and all in an organization. [Question ID = 23435]

1. Supplier [Option ID = 95148]

2. Customer [Option ID = 95149]
3. CEO [Option ID = 95150]
4. CFO [Option ID = 95151]

Correct Answer :-
Customer [Option ID = 95149]

5) ___________ tool is used in designing, developing and creating the products and services and
translated into product features. [Question ID = 23431]

1. Total Quality Management [Option ID = 95132]

2. Six sigma [Option ID = 95133]
3. Quality Function Deployment [Option ID = 95134]
4. EFQM [Option ID = 95135]

Correct Answer :-
Quality Function Deployment [Option ID = 95134]

6) An analysis of value activity within a firm does not show:- [Question ID = 23426]
1. Most important value creating activities of the firm [Option ID = 95112]
2. Net value creation as a percentage of assets used [Option ID = 95113]
3. Service level agreement value of the firm [Option ID = 95114]
4. Assets used in different value creating activities [Option ID = 95115]

Correct Answer :-
Service level agreement value of the firm [Option ID = 95114]

7) In Mather's framework if 'D>P' then the organization's order fulfillment option is:- [Question ID
= 23433]

1. Make to Stock [Option ID = 95140]

2. Make to Order [Option ID = 95141]
3. Engineer to Order [Option ID = 95142]
4. Assemble to Order [Option ID = 95143]

Correct Answer :-
Make to Order [Option ID = 95141]

8) _______ spells out the mutual responsibilities between the service provider and the Client.
[Question ID = 23434]

1. KPI - Key Process Indicators [Option ID = 95144]

2. MIS - Management Information Systems [Option ID = 95145]
3. SLA - Service Level Agreement [Option ID = 95146]
4. BSC - Balance Score Card [Option ID = 95147]

Correct Answer :-
SLA - Service Level Agreement [Option ID = 95146]

9) Which one of the following is not a TQM principle? [Question ID = 23425]

1. Leadership [Option ID = 95108]

2. Process approach [Option ID = 95109]
3. Involvement of people [Option ID = 95110]
4. Quality audits [Option ID = 95111]

Correct Answer :-
Quality audits [Option ID = 95111]

10) __________ is a low cost method of obtaining feedback from the customers and is generally
tagged with the warranty card at the time of purchase. [Question ID = 23432]

1. Focus group [Option ID = 95136]

2. Formal surveys [Option ID = 95137]
3. Comment cards [Option ID = 95138]
4. Balance score card [Option ID = 95139]

Correct Answer :-
Comment cards [Option ID = 95138]

11) In the long run ________ is a direct link to the profitability and growth. [Question ID = 23424]
1. Client satisfaction [Option ID = 95104]
2. Customer retention [Option ID = 95105]
3. Customer acquisition [Option ID = 95106]
4. Client service level agreement [Option ID = 95107]

Correct Answer :-
Customer retention [Option ID = 95105]

12) Who introduced 'Total Quality Management' (TQM) concepts? [Question ID = 23428]

1. Europeans [Option ID = 95120]

2. Germans [Option ID = 95121]
3. Japanese [Option ID = 95122]
4. Americans [Option ID = 95123]

Correct Answer :-
Japanese [Option ID = 95122]

Topic:- CII SCM EXE Mock M4

1) The bullwhip effect means:- [Question ID = 23440]

1. Unpredicted demand [Option ID = 95168]

2. Demand is magnified in the upstream direction [Option ID = 95169]
3. Reduced inventory [Option ID = 95170]
4. Delayed response [Option ID = 95171]

Correct Answer :-
Demand is magnified in the upstream direction [Option ID = 95169]

2) The technology used for payments in Google wallet is:- [Question ID = 23443]

1. NFC [Option ID = 95180]

2. Infra-Red [Option ID = 95181]
3. RFID [Option ID = 95182]
4. Bluetooth [Option ID = 95183]

Correct Answer :-
NFC [Option ID = 95180]

3) The example(s) of automatic identification technology used to identify products include:-

[Question ID = 23447]

1. Bar codes, RFID [Option ID = 95196]

2. Matrix code [Option ID = 95197]
3. UPC tags [Option ID = 95198]
4. All of the above [Option ID = 95199]

Correct Answer :-
All of the above [Option ID = 95199]
4) EDI is a:- [Question ID = 23442]

1. Point-to-point connection [Option ID = 95176]

2. One-to-many connection [Option ID = 95177]
3. Many-to-one connection [Option ID = 95178]
4. Many-to-many connection [Option ID = 95179]

Correct Answer :-
Point-to-point connection [Option ID = 95176]

5) The consultant a company hired to implement the ERP system keeps talking about adjusting
system parameters from a process view without reprogramming the software's code. What is he
referring to? [Question ID = 23444]

1. Customizing the system [Option ID = 95184]

2. Configuring the system [Option ID = 95185]
3. Creating the system [Option ID = 95186]
4. Mapping the system [Option ID = 95187]

Correct Answer :-
Configuring the system [Option ID = 95185]

6) An example of information that partners in SCM should share is:- [Question ID = 23438]

1. Sales margin [Option ID = 95160]

2. Employee names [Option ID = 95161]
3. Raw material suppliers [Option ID = 95162]
4. Production plans [Option ID = 95163]

Correct Answer :-
Production plans [Option ID = 95163]

7) Distribution Requirements Planning software is used to:- [Question ID = 23437]

1. Track the distribution of products [Option ID = 95156]

2. Plan the manufacturing of products [Option ID = 95157]
3. Find the needs of product engineers [Option ID = 95158]
4. Identify the mode of shipping [Option ID = 95159]

Correct Answer :-
Track the distribution of products [Option ID = 95156]

8) During which stage of supply chain development would EDI be used typically for the first time
with all the large suppliers? [Question ID = 23439]

1. Functional focus [Option ID = 95164]

2. Internal integration [Option ID = 95165]
3. External integration [Option ID = 95166]
4. Cross-enterprise collaboration and optimization [Option ID = 95167]

Correct Answer :-
External integration [Option ID = 95166]
9) _______ is generally considered as a concern in ERP execution. [Question ID = 23436]

1. It bridges gap across the organization [Option ID = 95152]

2. Facilitates quick decision making [Option ID = 95153]
3. Data becomes accessible by all departments [Option ID = 95154]
4. Higher cost of implementation [Option ID = 95155]

Correct Answer :-
Higher cost of implementation [Option ID = 95155]

10) Which of the following is true of Radio Frequency Identification (RFID)? [Question ID = 23445]

1. Bar code data can also be represented on an RFID tag [Option ID = 95188]
2. Some metals absorb interrogator/tag signals, and some liquids reflect signals [Option ID = 95189]
3. RFID tags can be burned only once and cannot be reused [Option ID = 95190]
4. RFID readers cannot automatically recognize and differentiate more than one tag in their field at a time [Option
ID = 95191]

Correct Answer :-
Bar code data can also be represented on an RFID tag [Option ID = 95188]

11) All of the following are true of the role of IT in supply chain management except:- [Question ID
= 23441]

1. Supply chain data should ideally provide individual connections between each supply chain member. [Option ID
= 95172]
2. Data warehouses enable better processing of unprecedented amounts of data than transactional databases.
[Option ID = 95173]
3. Each supply chain trading partner must have the same level of investment in IT to support collaboration.
[Option ID = 95174]
4. Supply chain networks should replace information for inventory, cash, and material documentation where
possible. [Option ID = 95175]

Correct Answer :-
Supply chain data should ideally provide individual connections between each supply chain member. [Option
ID = 95172]

12) Passive information refers to information that is:- [Question ID = 23446]

1. Not current [Option ID = 95192]

2. Not useful [Option ID = 95193]
3. Obtained using passive sensors [Option ID = 95194]
4. That is obtained from systems that have reached steady-state [Option ID = 95195]

Correct Answer :-
Not current [Option ID = 95192]

Topic:- CII SCM EXE Mock M5

1)
The Incoterms that are agreed upon in a given transaction define several aspects of an international
sale, except:-

[Question ID = 23455]

1. Tasks performed by the exporter [Option ID = 95228]

2. When transfer of responsibility will take place [Option ID = 95229]
3. Tasks performed by customs [Option ID = 95230]
4. All of the above are aspects of international sale [Option ID = 95231]

Correct Answer :-
Tasks performed by customs [Option ID = 95230]

2) Container is also called as:-

[Question ID = 23456]

1. Storage / Carriage device [Option ID = 95232]

2. Box / Van [Option ID = 95233]
3. An article of transport equipment [Option ID = 95234]
4. All of the above [Option ID = 95235]

Correct Answer :-
All of the above [Option ID = 95235]

3) Which of the following is not correct in SEZ? [Question ID = 23457]

1. Goods going to SEZ from DTA( Domestic tariff Area) is considered to be exports [Option ID = 95236]
2. SEZ enjoys duty free import of capital goods, raw materials and accessories [Option ID = 95237]
3. Customs procedure is same as imported from abroad [Option ID = 95238]
4. Customs duty is not payable for goods that moves out of SEZ for domestic consumption [Option ID = 95239]

Correct Answer :-
Customs duty is not payable for goods that moves out of SEZ for domestic consumption [Option ID = 95239]

4) Orientation Labels are used in order to:- [Question ID = 23448]

1. Provide handling instructions [Option ID = 95200]

2. To reach ship to location of consignee [Option ID = 95201]
3. Make packing more attractive [Option ID = 95202]
4. Add strength to the packing material [Option ID = 95203]

Correct Answer :-
Provide handling instructions [Option ID = 95200]

5) An insurance Coverage requested in International shipment is usually:- [Question ID = 23458]

1. 110% of the value of the cargo shipped [Option ID = 95240]

2. 100% of the value of the cargo shipped [Option ID = 95241]
3. As desired by importer [Option ID = 95242]
4. As desired by exporter and importer [Option ID = 95243]

Correct Answer :-
 110% of the value of the cargo shipped [Option ID = 95240]

6) _______________ is a transport document issued by the shipping company/ master of ship

specifying that the goods have been received on board. [Question ID = 23453]

1. Bill of Lading [Option ID = 95220]

2. Shipment Advice [Option ID = 95221]
3. Shipping Bill [Option ID = 95222]
4. Shipping Order [Option ID = 95223]

Correct Answer :-
Bill of Lading [Option ID = 95220]

7) In International trade, each 20 foot container is normally known as one TEU which is the
abbreviation of:-

[Question ID = 23454]

1. Twenty Foot Equivalent Unit [Option ID = 95224]

2. Twenty Tons Equivalent Unit [Option ID = 95225]
3. Full Container Equivalent Unit [Option ID = 95226]
4. All of the above [Option ID = 95227]

Correct Answer :-
Twenty Foot Equivalent Unit [Option ID = 95224]

8) A company or a person whose responsibility is to load and unload ships in a port is called a
___________. [Question ID = 23452]

1. Customs house agent [Option ID = 95216]

2. Stevedore [Option ID = 95217]
3. Along side loader/unloader [Option ID = 95218]
4. Ship's rail [Option ID = 95219]

Correct Answer :-
Stevedore [Option ID = 95217]

9) International trade terms (INCOTERMS) can be categorized into four groups, namely C, D, E, and
F. An exporter has minimum responsibility with which group? [Question ID = 23451]

1. C [Option ID = 95212]
2. D [Option ID = 95213]
3. E [Option ID = 95214]
4. F [Option ID = 95215]

Correct Answer :-
E [Option ID = 95214]

10) The Pro Forma Invoice is used primarily:-

[Question ID = 23450]
1. To document to the buyer, in advance, the cost and terms of sale of a proposed export [Option ID = 95208]
2. By the foreign buyer as a quotation from the exporter [Option ID = 95209]
3. As the basis for the subsequent commercial invoice [Option ID = 95210]
4. All of the above [Option ID = 95211]

Correct Answer :-
All of the above [Option ID = 95211]

11) In Letter of Credit mode of payments:- [Question ID = 23449]

1. The buyer submits all documents to seller and Seller submits to the bank [Option ID = 95204]
2. The seller submits all documents to buyer and buyer submits to the bank [Option ID = 95205]
3. Buyer submits their documents to the bank and Seller submits their documents to their bank [Option ID =
95206]
4. Bank will receive the documents and will not forward to buyer / seller [Option ID = 95207]

Correct Answer :-
Buyer submits their documents to the bank and Seller submits their documents to their bank [Option ID =
95206]