MAN 4504 - CHAPTER 13 EXAM QUESTIONS WITH VERIFIED ANSWERS
LATEST UPDATE 2026
Which of the following statements about dependent demand are true? - Answers The
materials that go into the production of a car are considered dependent demand
because they are part of cars
Once forecasts or production schedules are complete, dependent demand is known
exactly.
MRP is a methodology that translates ________ requirements for end items into time-
phased requirements for subassemblies, parts, and raw materials. - Answers Master
schedule
Which of the following statements about the master schedule are true? - Answers It
must be at least as long as the cumulative lead time.
It does not have a prederminded or fixed time horizon.
A _____ _____ _____ is a visual depiction of the requirements on a bill of materials. -
Answers product structure tree
Which of the following statements about inventory records is not true? - Answers
They are automatically updated by the MRP system during planning.
Demand for finished goods is considered ___ demand. The demand for components
and raw materials derived from this is known as ___ demand. - Answers dependent;
independent
Which of the following are the key questions MRP is designed to answer? - Answers
What is needed?
How much is needed?
When is it needed?
A ____ ____ ____ known as the MPS, is the anticipated build schedule stating which
end items are to be produced, when, and in what quantities for the next 12 weeks or
so. - Answers Master Production Schedule
, MRP processing takes end item requirements specified by the master schedule and
____________ them into time-phased requirements for assemblies, parts, and raw
materials using the bill of materials offset by lead times. - Answers explodes
The bill of materials, an input for MRP, lists all assemblies, subassemblies, parts, and
raw materials needed to produce __________. - Answers one unit of a finished
product
Which of the following are advantages of the net-change method of updating MRP
records? - Answers The system is always up-to-date.
Only the changes are exploded in the system. Everything else stays unchanged.
Inventory records are one of the three primary inputs in MRP. It includes information
on the status of each item by time period, called ____ _____. - Answers Time
buckets
Which of the following are secondary reports generated by the MRP system? -
Answers Performance-control reports
Planning reports
Exception reports
In managing inventory of lower-level components, what is used to offset the risk
caused by variable lead times? - Answers Safety Time
For dependent-demand items with variable demand, which statement is true about lot
sizing? - Answers Lot-for-lot ordering is most appropriate
MRP processing takes end item requirements specified by the master schedule and
explodes them into __________ for assemblies, parts, and raw materials using the bill
of materials offset by lead times. - Answers Time-phased requirements
MRP is applicable to services as well as to manufacturing. - Answers True
Which of the following are advantages of the regenerative method of updating MSP
records? - Answers If changes cancel each other out, the system is not changed
repeatedly "for nothing"
The MRP system is relatively stable because it is not constantly being changed.
Which of the following are primary reports generated by the MRP system? - Answers
Changes to planned orders
LATEST UPDATE 2026
Which of the following statements about dependent demand are true? - Answers The
materials that go into the production of a car are considered dependent demand
because they are part of cars
Once forecasts or production schedules are complete, dependent demand is known
exactly.
MRP is a methodology that translates ________ requirements for end items into time-
phased requirements for subassemblies, parts, and raw materials. - Answers Master
schedule
Which of the following statements about the master schedule are true? - Answers It
must be at least as long as the cumulative lead time.
It does not have a prederminded or fixed time horizon.
A _____ _____ _____ is a visual depiction of the requirements on a bill of materials. -
Answers product structure tree
Which of the following statements about inventory records is not true? - Answers
They are automatically updated by the MRP system during planning.
Demand for finished goods is considered ___ demand. The demand for components
and raw materials derived from this is known as ___ demand. - Answers dependent;
independent
Which of the following are the key questions MRP is designed to answer? - Answers
What is needed?
How much is needed?
When is it needed?
A ____ ____ ____ known as the MPS, is the anticipated build schedule stating which
end items are to be produced, when, and in what quantities for the next 12 weeks or
so. - Answers Master Production Schedule
, MRP processing takes end item requirements specified by the master schedule and
____________ them into time-phased requirements for assemblies, parts, and raw
materials using the bill of materials offset by lead times. - Answers explodes
The bill of materials, an input for MRP, lists all assemblies, subassemblies, parts, and
raw materials needed to produce __________. - Answers one unit of a finished
product
Which of the following are advantages of the net-change method of updating MRP
records? - Answers The system is always up-to-date.
Only the changes are exploded in the system. Everything else stays unchanged.
Inventory records are one of the three primary inputs in MRP. It includes information
on the status of each item by time period, called ____ _____. - Answers Time
buckets
Which of the following are secondary reports generated by the MRP system? -
Answers Performance-control reports
Planning reports
Exception reports
In managing inventory of lower-level components, what is used to offset the risk
caused by variable lead times? - Answers Safety Time
For dependent-demand items with variable demand, which statement is true about lot
sizing? - Answers Lot-for-lot ordering is most appropriate
MRP processing takes end item requirements specified by the master schedule and
explodes them into __________ for assemblies, parts, and raw materials using the bill
of materials offset by lead times. - Answers Time-phased requirements
MRP is applicable to services as well as to manufacturing. - Answers True
Which of the following are advantages of the regenerative method of updating MSP
records? - Answers If changes cancel each other out, the system is not changed
repeatedly "for nothing"
The MRP system is relatively stable because it is not constantly being changed.
Which of the following are primary reports generated by the MRP system? - Answers
Changes to planned orders
