Management Development Institute, Gurgaon

Post Graduate Diploma in Management Programme

Batch: 2019-21 Term : VI
Course : Operations Strategy
Make-up Quiz Maximum Marks:10
Date: (Closed Book Quiz) Duration: 10 minutes
Name: Rahul Samaddar Roll No: 19P104

Mark a ‘T’ against each of the statements below if the statement is true and an ‘F’ against the statement
if the statement is false in the blank space before each statement. All statements carry equal marks. A
negative mark may be awarded if the statement is marked wrong. Minimum marks awarded will be 0.

1. A market state of backwardation signifies a shortage of the commodity in the short run.
Ans: True

2. In a purchase contract on lease, tax benefit is available against depreciation of the equipment
purchased.
Ans: False

3. Overdue interest clause in a purchase contract is for the benefit of the purchaser.
Ans: False

4. Consignee copy of a Lorry Receipt (LR) may be routed through a bank for ensuring prompt
payment to supplier.
Ans: True

5. Hedging risk in a commodity market with fluctuating prices involves actually two contracts , one
on the physical side and the other as a futures contract.
Ans: True

6. With a press tender, a buyer is confident of awarding the order to the best possible supplier in
the market.
Ans: True

7. India has several multi-sectoral regulators in the economy.

Ans: True

8. The principle of separation of power in regulation refers to the separation of regulators from
operators.
Ans: False
9. A prospective supplier’s technical competence is the first important criterion to be evaluated by
a buyer.
Ans: True

10. Routing of dispatch documents through banks may not ensure prompt payment to a supplier.
Ans: False