WITH 100% CORRECT ANSWERS |
LATEST VERSION 2025/2026.
Weeks Of Supply Formula - ANS Average Aggregate Inventory Value/Weekly Sales Cost
(COGS)
Inventory Turnover Ratio - ANS Annual Sales Cost (COGS)/Average Inventory Value
Return On Assets (ROA) - ANS Net Income/Average Total Assets
What Is Supply Chain Design? - ANS Designing A Firm's Unique Supply Chain To Meet The
Competitive Priorities Of The Firm's Operations Strategy. The Supply Chain Is Constantly
Evolving.
A Process Chart Can Be Used To Document All The Activities Done By A Customer Of A Legal
Firm. Which Of The Following Is NOT Represented On A Process Chart?
A.
The Act Of Filling Out Forms.
B.
The Cost Of Energy Used To Run The Office Network.
C.
1 | Page @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED
,The Distance Traveled When The Receptionist Walks To The Copier And Copies Your Driver's
License.
D.
The Time Spent Registering In The Receptionist's Office. - ANS B. The Cost Of Energy Used To
Run The Office Network.
The Analysis Tool For A Quality Problem That Involves Selecting The Problem, Identifying The
Major Categories Of Potential Causes, And Associating Likely Specific Causes Is A
A.
Fishbone Diagram.
B.
Checklist.
C.
Pareto Chart.
D.
Scatter Diagram. - ANS A. Fishbone Diagram.
The Following Is NOT True Of Flowcharts.
A.
The Usual Choice For A Step Is A Circle.
B.
A Diamond Shape Generally Indicates A Decision Point.
C.
A Flowchart Lends Itself Well To Finding Performance Gaps.
D.
A Flowchart Can Handle Nested Processes. - ANS A. The Usual Choice For A Step Is A Circle.
A Team Engaged In Process Analysis And Improvement Has Collected Data On Customer
Complaints. Their Pareto Chart Clearly Shows One Bar That Is Much Taller Than The Others. A
Natural Next Step For This Bit Of Information Is To
2 | Page @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED
, A.
Use A Check Sheet To Collect More Data.
B.
Take The Shortest Few Bars Of The Pareto Chart And Prepare Another Flow Chart That Isolates
The Activities Responsible.
C.
Redistribute The Data From The Pareto Chart And Make A Histogram.
D.
Make The Tallest Bar Of The Pareto Chart The Head Of A Fishbone Diagram. - ANS Make The
Tallest Bar Of The Pareto Chart The Head Of A Fishbone Diagram.
Which Of The Following Statements Is Generally True For Manufacturing Processes When
Volumes Are High And Process Divergence Is Low?
A.
Flexibility Is Not Needed To Utilize Resources Effectively.
B.
Less Discretion Is Allowed In Order To Avoid The Unpredictable Demands Required By
Customized Orders.
C.
Line Flow Is Possible.
D.
All Of The Above Statements Are True - ANS D.
All Of The Above Statements Are True
Louie Is Considering Two Different Manufacturing Processes. One Is More Capital Intensive
With Fixed Costs Of $150,000 And Variable Costs Of $50 Per Unit. The Other Is Less Capital
Intensive With Fixed Costs Of $75,000 And Variable Costs Of $100 Per Unit. What Is The Break-
Even Quantity At Which The Total Costs For Both Processes Are Equal?
A.
100 Units
3 | Page @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED