Management
Comprehensive Practice Final Exam
100 Multiple-Choice Questions With correct answers
Question 1
The primary goal of supply chain management is to:
A. Maximize inventory levels
B. Reduce employee turnover
C. Coordinate the flow of products, information, and finances from suppliers to customers
D. Eliminate transportation
BSOP 434
Question 2
Which inventory is maintained to protect against uncertainty in demand or supply?
A. Cycle inventory
B. Safety stock
C. Pipeline inventory
D. Seasonal inventory
Question 3
Vendor Managed Inventory (VMI) allows:
A. Customers to manage supplier warehouses
,B. Suppliers to monitor and replenish customer inventory
C. Retailers to eliminate forecasting
D. Manufacturers to avoid transportation
Question 4
Inbound logistics primarily concerns:
A. Delivering products to customers
B. Managing returned products
C. Receiving materials from suppliers
D. International marketing
Question 5
Procurement is primarily responsible for:
A. Selling finished goods
B. Purchasing goods and services
C. Manufacturing products
D. Forecasting demand
Question 6
Which transportation mode is generally the fastest?
A. Rail
B. Water
C. Truck
,D. Air
Question 7
Which transportation mode usually has the lowest cost for very large international shipments?
A. Air
B. Water
C. Truck
D. Pipeline
Question 8
A common carrier:
A. Serves one shipper only
B. Offers transportation services to the general public
C. Owns manufacturing plants
D. Is owned by the government
Question 9
The reorder point determines:
A. Economic order quantity
B. When to place an order
C. Supplier selection
D. Warehouse location
, Question 10
Economic Order Quantity (EOQ) balances:
A. Production and marketing costs
B. Ordering and carrying costs
C. Labor and transportation costs
D. Purchasing and sales costs
Question 11
Cross-docking refers to:
A. Long-term storage
B. Direct transfer from receiving to shipping with minimal storage
C. International shipping
D. Ocean freight consolidation
Question 12
A distribution center differs from a warehouse because it primarily focuses on:
A. Long-term storage
B. Rapid movement of products
C. Manufacturing
D. Product design
Question 13
Forecasting is used primarily to: