SCMA EXAM 3 Questions AND Correct Answers
"An optimal plan for minimizing the cost of allocating capacity
to meet demand over several planning periods" best describes
__________.
The management coefficients model
The transportation method
Graphical models - ✔✔The transportation method
A company wishes to determine the EOQ for an item that has
an annual demand of 2,000 units, a cost per order of $75, and
annual carrying cost of 7.50 per unit. What is the EOQ? -
✔✔200
A disadvantage of the "few suppliers" strategy is __________.
the high cost of changing partners
the lack of cost savings for customers and suppliers
,the possible violation of the Sherman antitrust act - ✔✔the
high cost of changing partners
A disadvantage of the fixed-period inventory system is that
additional inventory records are required.
it involves higher ordering costs than fixed-quantity inventory
systems.
a stockout is possible.
the average inventory level is decreased. - ✔✔a stockout is
possible.
A document calls for the production of 50 small garden
tractors in week 1; 50 small garden tractors and 100 riding
mowers in week 2; 100 riding mowers and 200 garden utility
carts in week 3; and 100 riding mowers in week 4. This
document is most likely a __________.
,bill of material
master production schedule
planning bill - ✔✔master production schedule
A firm uses graphical techniques in its aggregate planning
efforts. Over the next twelve months (its intended period) it
estimates the sum of demands to be 105,000 units. The firm
has 250 production days per year. In January, which has 22
production days, demand is estimated to be 11,000 units. A
graph of demand versus level production will show that the
__________.
level production of 420 units per day is below the January
requirement
level production is approximately 420 units per month
level production is approximately 1000 units per month -
✔✔level production of 420 units per day is below the January
requirement
, A firm uses the pure chase strategy of aggregate planning. It
produced 1000 units in the last period. Demand in the next
period is estimated at 800, and demand over the next six
periods (its aggregate planning horizon) is estimated to
average 900 units. In following the chase strategy, what will
the firm do?
lay off workers to match the 200 unit difference
Add 100 units to inventory in the next period
Add 200 units to inventory in the next period - ✔✔lay off
workers to match the 200 unit difference
A firm uses the pure chase strategy of aggregate planning. It
produced 900 units in the last period. Demand in the next
period is estimated at 1000, and demand over the next six
periods (its aggregate planning horizon) is estimated to
average 1000 units.
In following the chase strategy, the firm would not ________
to meet next period's production.
"An optimal plan for minimizing the cost of allocating capacity
to meet demand over several planning periods" best describes
__________.
The management coefficients model
The transportation method
Graphical models - ✔✔The transportation method
A company wishes to determine the EOQ for an item that has
an annual demand of 2,000 units, a cost per order of $75, and
annual carrying cost of 7.50 per unit. What is the EOQ? -
✔✔200
A disadvantage of the "few suppliers" strategy is __________.
the high cost of changing partners
the lack of cost savings for customers and suppliers
,the possible violation of the Sherman antitrust act - ✔✔the
high cost of changing partners
A disadvantage of the fixed-period inventory system is that
additional inventory records are required.
it involves higher ordering costs than fixed-quantity inventory
systems.
a stockout is possible.
the average inventory level is decreased. - ✔✔a stockout is
possible.
A document calls for the production of 50 small garden
tractors in week 1; 50 small garden tractors and 100 riding
mowers in week 2; 100 riding mowers and 200 garden utility
carts in week 3; and 100 riding mowers in week 4. This
document is most likely a __________.
,bill of material
master production schedule
planning bill - ✔✔master production schedule
A firm uses graphical techniques in its aggregate planning
efforts. Over the next twelve months (its intended period) it
estimates the sum of demands to be 105,000 units. The firm
has 250 production days per year. In January, which has 22
production days, demand is estimated to be 11,000 units. A
graph of demand versus level production will show that the
__________.
level production of 420 units per day is below the January
requirement
level production is approximately 420 units per month
level production is approximately 1000 units per month -
✔✔level production of 420 units per day is below the January
requirement
, A firm uses the pure chase strategy of aggregate planning. It
produced 1000 units in the last period. Demand in the next
period is estimated at 800, and demand over the next six
periods (its aggregate planning horizon) is estimated to
average 900 units. In following the chase strategy, what will
the firm do?
lay off workers to match the 200 unit difference
Add 100 units to inventory in the next period
Add 200 units to inventory in the next period - ✔✔lay off
workers to match the 200 unit difference
A firm uses the pure chase strategy of aggregate planning. It
produced 900 units in the last period. Demand in the next
period is estimated at 1000, and demand over the next six
periods (its aggregate planning horizon) is estimated to
average 1000 units.
In following the chase strategy, the firm would not ________
to meet next period's production.
