MRO Inventory Practice Test IV - Easy Questions & Verified Answers Study Guide

MRO Practice Questions and Answers
(Verified Answers) Study Guide (latest
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1. Historically, most organizations have paid minimal attention to MRO items.
a. True
b. False
ANSWER: True
DIFFICULTY: Easy

2. The way MRO items are typically dispersed throughout an organization makes monitoring MRO
inventory relatively simple.
a. True
b. False
ANSWER: False
DIFFICULTY: Easy

3. Capital equipment purchasing involves buying assets intended for use less than one year.
a. True
b. False
ANSWER: False
DIFFICULTY: Easy

4. Most companies spend too much time and too many resources managing the ordering of goods and
services, particularly lower-value items.
a. True
b. False
ANSWER: True
DIFFICULTY: Easy

5. All of the following are objectives of a world-class purchasing organization except .
a. ensure that all hard copies of purchase orders and other paper documents are filed
correctly in a secure area
b. develop integrated supply strategies that support business goals and objectives
c. manage the sourcing process efficiently and effectively
d. supplier performance management
e. supply assurance
ANSWER: a
DIFFICULTY: Easy

6. Failing to respond to the needs of internal customers will diminish the confidence these users have
in purchasing, and they may try to negotiate contracts themselves (a practice known as ).
a. strategic sourcing
b. spend management
c. maverick buying