MQM 227 Ch.7 Questions and Answers 100% Correct
The time needed to respond to a customer order is called the —Answer: lead time
Place the following production methods in order starting with the one having inventory closest
to the customer and then moving back to the one with inventory closest to the source.
Assemble-to-order
Make-to-stock
Engineer-to-order
Make-to-order —Answer: Make-to-stock
Assemble-to-order
Make-to-order
Engineer-to-order
____ time is the time needed to respond to a customer order. —Answer: Lead
Make-to-stock —Answer: A production environment where the customer is served "on-
demand" from finished goods inventory.
Assemble-to-order —Answer: A production environment where pre-assembled components,
subassemblies, and modules are put together in response to a specific customer order.
Make-to-order —Answer: A production environment where the product is built directly from
raw materials and components in response to a specific customer order.
Engineer-to-order —Answer: Here the firm works with the customer to design the product,
which is then made from purchased materials, parts, and components.
Firms that combine a number of preassembled modules to meet customer's specification are
called —Answer: assemble-to-order
True or false: The customer order decoupling point is where inventory is positioned in the
supply chain —Answer: True
If a car has four engine choices, three transmission choices, and five entertainment choices,
there are ____ total number of combinations. —Answer: 60
Place the following production methods in order starting with the shortest lead time and
moving to the longest lead time.
Assemble-to-order
Make-to-stock
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, Engineer-to-order
Make-to-order —Answer: Make-to-stock
Assemble-to-order
Make-to-order
Engineer-to-order
Which of the following is not a step required to make a good?
A. Delivering
B. Sourcing
C. Decoupling
D. Making —Answer: C. Decoupling
True or false: Carrying finished goods inventory is more expensive than carrying raw material
inventory. —Answer: True
Firms that make the customer's product from raw materials, parts, and components are called
—Answer: make-to-order
The number of finished products is usually substantially ____ than the number of components
combined to produce the finished product. —Answer: larger
Which of the following describes the step where parts are procured from one of more suppliers?
A. Delivering
B. Sourcing
C. Decoupling
D. Making —Answer: B. Sourcing
Which type of firm invests in lean manufacturing programs in order to improve customer
service levels for a given inventory investment?
A. Assemble-to-order
B. Make-to-stock
C. Engineer-to-order
D. Make-to-order —Answer: B. Make-to-stock
Which of the following is an example of a product made with a project layout?
A. A refrigerator
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The time needed to respond to a customer order is called the —Answer: lead time
Place the following production methods in order starting with the one having inventory closest
to the customer and then moving back to the one with inventory closest to the source.
Assemble-to-order
Make-to-stock
Engineer-to-order
Make-to-order —Answer: Make-to-stock
Assemble-to-order
Make-to-order
Engineer-to-order
____ time is the time needed to respond to a customer order. —Answer: Lead
Make-to-stock —Answer: A production environment where the customer is served "on-
demand" from finished goods inventory.
Assemble-to-order —Answer: A production environment where pre-assembled components,
subassemblies, and modules are put together in response to a specific customer order.
Make-to-order —Answer: A production environment where the product is built directly from
raw materials and components in response to a specific customer order.
Engineer-to-order —Answer: Here the firm works with the customer to design the product,
which is then made from purchased materials, parts, and components.
Firms that combine a number of preassembled modules to meet customer's specification are
called —Answer: assemble-to-order
True or false: The customer order decoupling point is where inventory is positioned in the
supply chain —Answer: True
If a car has four engine choices, three transmission choices, and five entertainment choices,
there are ____ total number of combinations. —Answer: 60
Place the following production methods in order starting with the shortest lead time and
moving to the longest lead time.
Assemble-to-order
Make-to-stock
© 2025 All rights reserved
, Engineer-to-order
Make-to-order —Answer: Make-to-stock
Assemble-to-order
Make-to-order
Engineer-to-order
Which of the following is not a step required to make a good?
A. Delivering
B. Sourcing
C. Decoupling
D. Making —Answer: C. Decoupling
True or false: Carrying finished goods inventory is more expensive than carrying raw material
inventory. —Answer: True
Firms that make the customer's product from raw materials, parts, and components are called
—Answer: make-to-order
The number of finished products is usually substantially ____ than the number of components
combined to produce the finished product. —Answer: larger
Which of the following describes the step where parts are procured from one of more suppliers?
A. Delivering
B. Sourcing
C. Decoupling
D. Making —Answer: B. Sourcing
Which type of firm invests in lean manufacturing programs in order to improve customer
service levels for a given inventory investment?
A. Assemble-to-order
B. Make-to-stock
C. Engineer-to-order
D. Make-to-order —Answer: B. Make-to-stock
Which of the following is an example of a product made with a project layout?
A. A refrigerator
© 2025 All rights reserved
