1. Operating inventories are dependent on:
A. Supply
B. Demand
C. Production
D. Procurement
2. What are the two types of inventories exist in an operating system?
A. Operating and distribution inventories
B. Product and operating inventories
C. Distribution and product inventories
D. None of the above
3. A structured approach that develops schedules for launching orders for materials in any manufacturing system and ensures the availability of these at the right time and the right place is:
A. Capacity requirement planning
B. Inventory requirement planning
C. Material requirement planning
D. Production requirement planning
4. Regeneration is one method to update:
A. Service requirements planning schedule
B. Inventory requirement planning schedule
C. Capacity requirement planning schedule
D. Material requirements planning schedule
5. What is the technique that applies the MRP logic to address the capacity issues in an organisation?
A. Capacity Requirements Planning
B. Material Requirements Planning
C. Distribution Requirement Planning
D. Energy Requirement Planning
6. To plan distribution inventories in the downstream supply chain, consisting of depots and stocking points at the dealer level is termed as:
A. Capacity Requirements Planning
B. Material Requirements Planning
C. Energy Requirements Planning
D. Distribution Requirements Planning
7. The iterative process of computing all requirements at a particular level and then moving down one level is known as:
A. Level by level analysis
B. Top to bottom approach
C. Scheduling
D. Explosion
8. Which is that organisation-wide planning system that utilises some common software and an integrated database for planning and control purposes?
A. Capacity Requirements Planning
B. Material Requirements Planning
C. Energy Requirements Planning
D. Distribution Requirements Planning
9. In which of the below, planning is based on resources?
A. Capacity Requirements Planning
B. Resources Planning in Services
C. Distribution Requirements Planning
D. Service Requirements Planning
10. What are the two types of inventories exist in an operating systems?
A. Operating inventory and distribution inventory
B. Fixed inventory and fluctuation inventory
C. Physical inventory and computerised inventory
D. First in First out and Last in Last out
Please click here for the MCQ’s for chapter 6 – Inventory Management and Models