L4M7 V2

What is the different between gross material requirements plan (gross MRP) and a net material requirements plan (net MRP)?A . The gross requirement doesn't take taxes into account, whereas the net requirement includes the tax considerationsB . The gross MRP includes consideration of available inventory, whereas the net MRP does...

Which of the following is the definition of work in progress inventory?A . Inventory that has finished the production processB . Inventory introduced into production but not completed as of the stocktake dateC . Inventory not yet introduced into the production processD . Obsolete inventoryView AnswerAnswer: B Explanation: Work in...

The following are examples of scheduled maintenance except...A . Oil changes and regular servicingB . Overhauling of machineC . Repair signage damage from a recent stormD . Cleaning of tankView AnswerAnswer: C Explanation: Scheduled maintenance is any repair and upkeep work performed within a set timeframe. It details when given...

Profit decreasesA . 2 and 4 onlyB . 1 and 3 onlyC . 2 and 3 onlyD . 1 and 4 onlyView AnswerAnswer: A Explanation: An inventory write-off is a process of removing from the general ledger any inventory that has no value. Using the direct write-off method, a business...

Which of the following is the correct statement about total ordering cost?A . Rise as the average stock level risesB . Equal the number of orders placed times the cost of placing an orderC . Rise as the order quantity risesD . Fall with the per period usage rateView AnswerAnswer:...

Among different types of costs associated with inventory, the costs of obtaining purchase approvals are...?A . Purchasing priceB . Costs of stockoutsC . Acquisition costsD . Holding costsView AnswerAnswer: C Explanation: Direct and indirect costs of holding inventory include the following: - Acquisition costs: preparing the requisition, supplier selection and...

A manager who is concerned about the environmental impact of packaging should do which of the following?A . Adopt international environmental packaging standardsB . Try to reduce the costs of packagingC . Purchase the packaging materials in bulkD . Not use the packaging materials at allView AnswerAnswer: A Explanation: In...

MRP software is a powerful tool for managing material requirements of manufacturing processes. To keep the software function well, an organisation must have appropriate input data. Which of the following are the inputs of MRP software? Select THREE that apply.A . Master production scheduleB . Bill of materialsC . Capacity...

To test the product durabilityA . 1 and 2 onlyB . 3 and 4 onlyC . 2 and 3 onlyD . 1 and 4 onlyView AnswerAnswer: C Explanation: It would be really convenient if we could just hand our products directly to the customers, but that’s not possible. Packaging needs...

Which of the following is the correct statement about total ordering cost?A . Rise as the average stock level risesB . Equal the number of orders placed times the cost of placing an orderC . Rise as the order quantity risesD . Fall with the per period usage rateView AnswerAnswer:...