Online Access Free L6M9 Practice Test

Andrea is the Chief Financial Officer at Big Corporation and is completing aVariance Analysis. She has reviewed the production costs of creating item B, and this month's costs show avariance to budget of £-200.
What does this mean?

• A.More money was spent than expected
• B.Less money was spent than expected
• C.The organisation has lost £200
• D.The organisation has gained £200

Company A manufactures wheels for Company B, which manufactures cars. Traditionally, Company A would complete the wheels and conduct quality assessments before sending them to Company B, which would then begin assembling cars. However, a new CEO at Company B has introduced atechnology system that enablessimultaneous production, meaning Company B starts manufacturing cars at the same time Company A begins producing wheels.
What is this new system known as?

• A.Start to finish
• B.Finish to start
• C.Start to start
• D.Finish to finish

What is the purpose ofsupplier development?

• A.To lower prices, which will increase the profit margin
• B.To add value to the supply chain
• C.To reduce the number of suppliers upon which a business would become dependent
• D.To ensure that there are no logistics or delivery issues within the supply chain

Manuel has created an Efficient Frontier diagram mapping six options his organisation can take. Is it possible for there to be two curves on this diagram?

• A.Yes - there should always be at least two curves on the graph to demonstrate different timescales for the options
• B.No - the diagram should only have straight lines, not curves
• C.Yes - the second curve can represent what is achievable should the organisation engage in continuous improvement
• D.No - only one curve is needed as this plots the trade-offs and level of risk

Liedtka (1998) describesfive attributesnecessary for aprocurement professionalto developstrategic thinking. What are these?

• A.Hypothesis driven
• B.Risk awareness
• C.Systems perspective
• D.Intelligent optimism
• E.Intent focused
• F.Thinking in time