Free Access APICS.CPIM.v2022-03-09.q189 Practice Test (Page 14)

Question 61

Which of the following best describes sole sourcing?

A.One supplier exists and is utilized

B.Multiple potential suppliers, 2-3 are chosen to be the only suppliers for an organization

C.One supplier exists, but is not utilized

D.Multiple potential suppliers, one is chosen to be the only supplier for an organization

Question 62

What occurs when the cost of ordering equals the cost of carrying?

A.Economic-order quantity

B.Ordering cost quantity

C.Exact-order completeness

D.Predetermined carrying cost

Question 63

Which of the following is an advantage of VMI?

A.Lead-times are increased

B.Suppliers can leverage better information to reduce inventory levels.

C.MRP system operating costs decrease

D.The customer can usually force additional concessions from the VMI supplier

Question 64

Which of the following is an artificial grouping of components for planning purposes?

A.Single-level bill

B.Indented bill

C.Summarized parts list

D.Planning bill

Question 65

Over a 4-week period a work center produced 540 standard hours of work was available for 640 hours, and actually worked 480 hours. Calculate the utilization and the efficiency of the work center.

A.76%, 112.95%

B.75%, 110%

C.75%, 112.9%

D.75%, 110%

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