Question Type Basic MCQ

Question
1
number
___________ productivity depends on the type
of material equipment handling used, the
Question location and accessibility of stock, warehouse
layout, stock location system, and the order-
picking system used.
Option No Option Correct(Y)
Option 1 Labor Y
Option 2 Material
Option 3 Equipment
Option 4 Picking
Question
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Question
2
number
Question In receiving goods, the warehouse must:
Option No Option Correct(Y)
Inspect goods if
Option 1 required

Check for damage

Option 2
Check the goods
against an order and
Option 3
the bill of lading

Option 4 All of the above Y

Question
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Question
3
number
A record must be maintained for each item in
Question
stock showing
Option No Option Correct(Y)
The quantity on hand
Option 1 and received Y

The quantity on hand,

Option 2 received, and issued

Option 3 The quantity on hand

 and issued

The quantity received

Option 4
and issued
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Question
4
number
The effective use of a warehouse is influenced
Question
by
Option No Option Correct(Y)
Cube utilization and
Option 1
accessibility
Option 2 Stock location
Order picking and
Option 3
assembly
Option 4 All of the above Y
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Question
5
number
______________ is the use of space
Question horizontally and vertically.

Option No Option Correct(Y)

Option 1 Accessibility
Option 2 Pallet positioning
Option 3 Cube utilization Y
Option 4 Stock location
Question
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Question
6
number
If fast-moving items are placed _______ the receiving and shipping area, the work

Question of moving them in and out of storage is _____________.

Option No Option Correct(Y)

close to, increased
Option 1 Y
Option 2 close to, reduced
Option 3 away from, reduced
The first and third
Option 4
choices above
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Question
7
number
Question In a fixed-location system
Option No Option Correct(Y)
An SKU is assigned a
Option 1
permanent location
No other items are
Option 2
stored there
It is possible to store
and retrieve items with
Option 3
a minimum of record
keeping
Option 4 All of the above Y
 Question
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Question
8
number
An advantage to central storage is
Question
Option No Option Correct(Y)
Option 1 Increased safety stock
General-purpose
Option 2
storage can be used.
 Users can carry their
Option 3
own safety stock
Option 4 Ease of control Y
Question
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Question
9
number
EOQ stands for
Question
Option No Option Correct(Y)
Electronic Ordered
Option 1 Quantity

Economic Order
Option 2 Y
Quantity
Ergo Order Quality
Option 3
Economic Order
Option 4
Quality
Question
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Question
10
number
Question Inventory errors are often caused by
Option No Option Correct(Y)
Option 1 Secure stockrooms
Trained personnel
Option 2
Authorised withdrawal
Option 3
of material
Lack of audit
Option 4  Y
capability
Question
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Question
11
number
Place utility is created by
Question
Option No Option Correct(Y)
Operation function.
Option 1
Option 2 Logistics function. Y
Option 3 Procurement function.
Distribution function.
Option 4
 Question
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Question
12
number
Time utility is created by
Question
Option No Option Correct(Y)
Option 1 Operation function.
Logistics function.
Option 2
Procurement function.
Option 3
Option 4 Distribution function. Y
Question
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Question
13
number
The maintenance of a minimum possible level of
inventory required for a desired level of
Question
customer service is the objective of

Option No Option Correct(Y)

Option 1 right response
Option 2 right quality.
Option 3 right quantity Y
right value
Option 4
 Question
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Question
14
number
Question Cycle counting is

Option No Option Correct(Y)

Can reduce lost
Option 1 production Y

Can be done by all

personnel, including
Option 2
clerical staff

Is more concerned
Option 3 with correcting errors
in inventory counts
Is slow to detect
Option 4 problems
 Question
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Question
15
number
Unreliability of vendors leads to
Question
Option No Option Correct(Y)
Production
Option 1 uncertainty.

Option 2 Process uncertainty

Option 3 Demand uncertainty
Option 4 Supply uncertainty Y
Question
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Question
16
number
The uncertainty that could be reduced
Question through forecasting techniques is

Option No Option Correct(Y)

Production
Option 1 uncertainty.

Process uncertainty
Option 2
Demand uncertainty
Option 3 Y
Supply uncertainty
Option 4
Question
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Question
17
number
The number of stages that the goods and
Question services flow through

Option No Option Correct(Y)

Add to the complexity
Option 1 of SCM. Y

Relaxes the
Option 2 complexity of SCM

Brings no change in
Option 3 complexity of SCM

Ensures better quality.

Option 4
Question
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Question
18
number
Which of the following is not an inventory?
Question
Option No Option Correct(Y)
Option 1 Machines Y
Raw material
Option 2
finished products
Option 3
consumable tools
Option 4
Question
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Question
19
number
The warehousing function that combines the
logistical flow of several small shipments to a
Question
specific market area is

Option No Option Correct(Y)

break bulk
Option 1
Stock piling
Option 2
Option 3 Operational
 Option 4 Consolidation Y
Question
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Question
20
number
Cash on delivery method is conventionally used
Question for

Option No Option Correct(Y)

Bulk cargo with
Option 1 immediate market

Option 2 Slow moving items

Small but valuable
Option 3 Y
items sent by post.
Exports to countries
Option 4 with balance of
payments problems.
Question
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Question
21
number
An appropriate strategy to achieve timely,
Question accurate, paperless information flow is

Option No Option Correct(Y)

integrate this activity
into all supply chain
Option 1
planning.

efficient store
Option 2 assortments

Option 3 revision of Y
organization processes
 supported by
information systems

efficient replacement.
Option 4
Question
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Question
22
number
An appropriate strategy to optimize for time and
Question cost in the ordering process is

Option No Option Correct(Y)

efficient store
Option 1 assortments

revision of
organization processes
Option 2 supported by
information systems

Option 3 integrate this activity

into all supply chain
 planning.

efficient replacement.
Option 4 Y
Question
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Question
23
number
An appropriate strategy to optimize the
Question productivity of retail space and inventory is

Option No Option Correct(Y)

efficient store
Option 1 assortments Y

Option 2 revision of
organization processes
supported by
 information systems

integrate this activity

into all supply chain
Option 3
planning.

Option 4 efficient replacement.

Question
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Question
24
number
Question The upstream supply chain is
Option No Option Correct(Y)
exclusively inside an
Option 1 organization

involved with
procurement of
Option 2 material from
suppliers

Option 3 the distribution of Y

 products or delivery of
services to customers.

both the first and third

Option 4
answer above
Question
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Question
25
number
Question The downstream supply chain is
Option No Option Correct(Y)
exclusively inside an
Option 1 organization

involved with
procurement of
Option 2 material from
suppliers

the distribution of
products or delivery of
Option 3 Y
services to customers.

both the first and third

Option 4
answer above
 Question
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Question
26
number
The correct sequence of an organizations supply
Question
chain from a systems perspective is
Option No Option Correct(Y)
transformation
process, delivery to
Option 1 customers, acquisition
of resources

Option 2 transformation
 process, acquisition of
resources, delivery to
customers
acquisition of
resources,
transformation
Option 3 Y
process, delivery to
customers

delivery to customers,
acquisition of
Option 4
resources,
transformation process
Question
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Question
27
number
The typical aim of the push approach to supply
Question
chain management is
Option No Option Correct(Y)
to reduce costs of
Option 1
distribution
to enhance product
Option 2
and service quality.
to reduce costs of new
Option 3
product development.
both the first and third
Option 4 Y
answer above.
 Question
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Question
28
number
Inventory carried for the purpose of providing
flexibility to each decision-making unit to
Question
manage its operations independently is known
as
Option No Option Correct(Y)
Option 1 cycle
Option 2 decoupling Y
Option 3 pipeline
 Option 4 safety
Question
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Question
29
number
Receiving a required inventory item at the exact
Question
time needed
Option No Option Correct(Y)
JIT
Option 1 Y
ABC
Option 2
FSN
Option 3
 Option 4 SDE
Question
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Question
30
number
The time period between placing an order its
Question
receipt in stock is known as
Option No Option Correct(Y)
Option 1 lead time Y
Option 2 shortage time
Option 3 carrying time
Option 4 overtime
Question
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Question
31
number
‘Buffer stock’ is the level of stock
Question
Option No Option Correct(Y)
Half of the actual
Option 1 stock

At which the ordering

Option 2
process should start
Minimum stock level

Option 3 below which actual Y

stock should not fall
Maximum level of
Option 4
stock
Question
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Question
32
number
Which of the following is true for Inventory
Question control?

Option No Option Correct(Y)

Economic order
quantity has minimum
Option 1
total cost per order

Inventory carrying
Option 2 costs increases with
quantity per order
Ordering cost
Option 3
decreases with lot size
Option 4 All of the above Y
 Question
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Question
33
number
Question Factors affecting network design decisions
Option No Option Correct(Y)
Option 1 strategic factor
Option 2 micro economic factor
Option 3 competitive factor
Option 4 all the above Y
Question
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Question
34
number
Cross docking is the major SC technique used
Question
by
Option No Option Correct(Y)
Flipchart
Option 1
Option 2 Wall mart Y
Option 3 Dell
Option 4 Zara
Question
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Question
35
number
The variability in demand orders among supply
Question
chain participants
Option No Option Correct(Y)
cannot be controlled
Option 1
refers to the bullwhip
Option 2 effect Y

can be controlled with

Option 3 electronic order
placement
is more pronounced in
Option 4
relational exchanges
Question
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Question
36
number
Cooperative supply chain relationships

Question developed to enhance the overall business

performance of both parties is a definition of
Option No Option Correct(Y)
Option 1 third - party logistics
supply chain
Option 2 Y
collaboration
Option 3 dovetailing
Option 4 relationship marketing
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Question
37
number
Question The beneficiary under a letter of credit is
Option No Option Correct(Y)
The bank opening the
Option 1
credit.
The customer of the
Option 2
opening bank
Option 3 The confirming bank
Option 4 The exporter Y
Question
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Question
38
number
Question The warehouses located near the port is
Option No Option Correct(Y)
Option 1 Field warehouse
Buffer storage
Option 2
warehouse
Option 3 Bonded warehouse
Export and import
Option 4 Y
warehouse.
Question
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Question
39
number
The kind of warehouse that is licensed and

Question authorized by the customs for storing goods till

import duty is
Option No Option Correct(Y)
Field warehouse
Option 1
Buffer storage
Option 2
warehouse
Option 3 Bonded warehouse Y
Export and import
Option 4
warehouse.
Question
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Question
40
number
Question Dell supply chain is characterized by
Option No Option Correct(Y)
Lean production
Option 1
systems
Option 2 Zero product variety
Option 3 Vertical integration
Individual
Option 4 Y
customization
Question
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Question
41
number
Which one of the following is not the supply
challenge being faced by the Indian
Question
organisations?

Option No Option Correct(Y)

Poor infrastructure
Option 1
IT implementation
Option 2 Y
Complex taxation
Option 3 structure

Option 4 Smaller pack sizes

Question
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Question
42
number
Which of the following is a reason for holding
Question safety stocks?

Option No Option Correct(Y)

To improve stock
Option 1 holding levels

To improve stock
Option 2 accuracy levels

To cater for demand

Option 3 Y
forecast errors
To cater for a large
Option 4
storage capacity
Question
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Question
43
number
Which of the following stock valuation methods
is based on a cost estimate made before the part
Question
is purchased?

Option No Option Correct(Y)

Option 1 Standard costing Y
Option 2 FIFO
LIFO
Option 3
EOQ
Option 4
Question
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Question
44
number
The receipt used for warehouse is
Question
Option No Option Correct(Y)
Option 1 Inventory receipt
Option 2 Dock receipt Y
Option 3 EDI receipt
Goods receipt
Option 4
Question
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Question
45
number
Which of the following is the most appropriate
Question factor to consider in the design of a stockyard?

Option No Option Correct(Y)

Structure
Option 1
Option 2 Services
Option 3 Surface Y
Shelving.
Option 4
Question
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Question
46
number
Question Role of distribution in supply chain management
Option No Option Correct(Y)
providing localised
Option 1 services

Collecting product
reviews from
Option 2 customers which could
be used by
manufacturers
Reduces inventory
Option 3
holding cost
All the above
Option 4 Y
Question
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Question
47
number
Which of the following types of container is
Question used to carry oversized cargo?

Option No Option Correct(Y)

Option 1 Bulk
Option 2 Flat rack Y
Option 3 Reefer
Option 4 Tank
Question
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Question
48
number
Packaging performs two functions ___________
Question and logistics

Option No Option Correct(Y)

Option 1 Distribution.
Option 2 Store keeping.
Option 3 Material handling.
Marketing.
Option 4 Y
Question
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Question
49
number
which type of demand forecast is related to
Question environmental factors?

Option No Option Correct(Y)

Option 1 Qualitative forecast
Option 2 Time forecast
Option 3 Casual forecast Y
Option 4 Simulation forecast
Question
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Question
50
number
A confirmed letter of credit is one
Question
Option No Option Correct(Y)
Confirmed to be
Option 1
authentic.
Confirmed by the
Option 2
importer to be correct
Confirmed by the
Option 3 exporter that he agrees Y
to the conditions.
To get the acceptance
Option 4 of the importer on the
bill
Question
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