CLTD Final Exam Questions with
Completed & Verified Solutions30
Which cost will be reduced as more DCs are added to a logistics network? - ANSWERS -Stem
Distance
For which of the following does the seller bear the freight charges?
-FOB Origin, Freight Prepaid
-FOB Destination, Freight Collect
-FOB destination, Freight Prepaid and Charged Back
-FOB Origin, Freight Collect - ANSWERS -The seller bears the freight charges in FOB Origin,
Freight Prepaid
What makes the RoadRailer Unique? - ANSWERS -It is a bimodal trailer with two sets of wheels
What is the NVOCC? - ANSWERS -A cargo consolidator (Non-Vessel Operating Common
Carriers); Provide service on a container basis.
Employee's first-hand working knowledge of a product is an example of what CSM element? -
ANSWERS -Capability; Customers need to efel that when they contact the seller of a product or
service that they will be able to communicate directly with experience professionals who truly
know the products inside and out and have used them
What type of planning would indicate whether long-term warehouse capacity would need
expansion in the coming years, assuming top management approves it? - ANSWERS -Resource
Planning
,Capacity planning conducted at the business plan level; The process of establishing, measuring,
and adjusting limits or levels of long-range capacity; Based on the production plan - ANSWERS -
Resource planning
What is the formula for safety stock? - ANSWERS -Demand * LT + Safety Stock
Which of the following are the important and typically tracked measures of customer service?
-Average Age of Stockout and lead-time monitoring
-Lead Time Monitoring and customer service ratio
-Partial Orders delivered and stockout recovery rate
-Monetary value fill rate and stockout rate - ANSWERS -Lead Time Monitoring and customer
service ratio
If the seller will pay for all transportation costs (no sea or inland waterways will be used) and
bears all risk until the goods have been delivered and pays the duty, which Incoterm should be
used? - ANSWERS -Delivered Duty Paid (DDP)
What is a characteristic of an in-bond shipment? - ANSWERS -An in-bond shipment refers to an
import or export shipment which has not yet been cleared by scustoms. It is sealed until the
final destination is reached
What percent of the value of the reverse logistics process depends on matching the product
with the best disposition option? - ANSWERS -80%
Air cargo generates ______ % of international airline revenue - ANSWERS -Air cargo generates
9% of international airline revenue
, The most common type of invoice that is sent with the shipment; Utilized by customs to
determine the value of goods in order to determine the amount in duties - ANSWERS -
Commerical Invoice
Delays the completion of the production of finished goods until customer demand is more
definite - ANSWERS -Postponement
The GHS (Globally Harmonized System of Classification and Labeling of Chemicals) was
developed by the... - ANSWERS -United Nations
Which is a good way that an organization whose strategy is to compete on cost can reduce risks
of service failure due to uncontrollable events? - ANSWERS -Locate a manufacturing facility
halfway between two ports
What is the formula for cash-to-cash cycle time? - ANSWERS -Cash-to-Cash Cycle time = Days
Sales Outstanding + Inventory Days of Supply - Days Payable Outstanding
What is the difference between a TEU and an FEU? - ANSWERS -20 feet (TEU = Twenty-foot
equivalent units, FEU - Forty-Foot Equivalent Units)
Picking structure in which pickers are assigned a zone in the warehouse; Ideal for a warehouse
with a large number of deliveries per day and a large number of SKUs in the warehouse -
ANSWERS -Wave Picking
Product transportation characteristics as compared to other products - ANSWERS -Freight
Rating
Which material requirements planning (MRP) technique ca be leveraged to book inbound
transportation earlier and thus cheaper than if you wait until orders for materials are actually
released? - ANSWERS -Backscheduling
Completed & Verified Solutions30
Which cost will be reduced as more DCs are added to a logistics network? - ANSWERS -Stem
Distance
For which of the following does the seller bear the freight charges?
-FOB Origin, Freight Prepaid
-FOB Destination, Freight Collect
-FOB destination, Freight Prepaid and Charged Back
-FOB Origin, Freight Collect - ANSWERS -The seller bears the freight charges in FOB Origin,
Freight Prepaid
What makes the RoadRailer Unique? - ANSWERS -It is a bimodal trailer with two sets of wheels
What is the NVOCC? - ANSWERS -A cargo consolidator (Non-Vessel Operating Common
Carriers); Provide service on a container basis.
Employee's first-hand working knowledge of a product is an example of what CSM element? -
ANSWERS -Capability; Customers need to efel that when they contact the seller of a product or
service that they will be able to communicate directly with experience professionals who truly
know the products inside and out and have used them
What type of planning would indicate whether long-term warehouse capacity would need
expansion in the coming years, assuming top management approves it? - ANSWERS -Resource
Planning
,Capacity planning conducted at the business plan level; The process of establishing, measuring,
and adjusting limits or levels of long-range capacity; Based on the production plan - ANSWERS -
Resource planning
What is the formula for safety stock? - ANSWERS -Demand * LT + Safety Stock
Which of the following are the important and typically tracked measures of customer service?
-Average Age of Stockout and lead-time monitoring
-Lead Time Monitoring and customer service ratio
-Partial Orders delivered and stockout recovery rate
-Monetary value fill rate and stockout rate - ANSWERS -Lead Time Monitoring and customer
service ratio
If the seller will pay for all transportation costs (no sea or inland waterways will be used) and
bears all risk until the goods have been delivered and pays the duty, which Incoterm should be
used? - ANSWERS -Delivered Duty Paid (DDP)
What is a characteristic of an in-bond shipment? - ANSWERS -An in-bond shipment refers to an
import or export shipment which has not yet been cleared by scustoms. It is sealed until the
final destination is reached
What percent of the value of the reverse logistics process depends on matching the product
with the best disposition option? - ANSWERS -80%
Air cargo generates ______ % of international airline revenue - ANSWERS -Air cargo generates
9% of international airline revenue
, The most common type of invoice that is sent with the shipment; Utilized by customs to
determine the value of goods in order to determine the amount in duties - ANSWERS -
Commerical Invoice
Delays the completion of the production of finished goods until customer demand is more
definite - ANSWERS -Postponement
The GHS (Globally Harmonized System of Classification and Labeling of Chemicals) was
developed by the... - ANSWERS -United Nations
Which is a good way that an organization whose strategy is to compete on cost can reduce risks
of service failure due to uncontrollable events? - ANSWERS -Locate a manufacturing facility
halfway between two ports
What is the formula for cash-to-cash cycle time? - ANSWERS -Cash-to-Cash Cycle time = Days
Sales Outstanding + Inventory Days of Supply - Days Payable Outstanding
What is the difference between a TEU and an FEU? - ANSWERS -20 feet (TEU = Twenty-foot
equivalent units, FEU - Forty-Foot Equivalent Units)
Picking structure in which pickers are assigned a zone in the warehouse; Ideal for a warehouse
with a large number of deliveries per day and a large number of SKUs in the warehouse -
ANSWERS -Wave Picking
Product transportation characteristics as compared to other products - ANSWERS -Freight
Rating
Which material requirements planning (MRP) technique ca be leveraged to book inbound
transportation earlier and thus cheaper than if you wait until orders for materials are actually
released? - ANSWERS -Backscheduling
