Scmn3710
SCMN 3710 Exam 1 End of Term 2025
SQ: The three fundamental forms of utility under capitalist economic theory are: -
Correct Ans-Possession, Form, and Time/Space
The "Infrastructure" zone on the TC/CSL tradeoff curve is characterized by what? -
Correct Ans-fixed costs rising more rapidly than output (service)
According to prediction, __________, __________ and _________ will all house so
called Megacitites, whereas _________ will not have any cities of this size. - Correct
Ans-Asia, Latin America, and North America; Europe
Which of the following is NOT one of the the three main macroeconomic forces driving
the explosive growth in international trade since 1944: - Correct Ans-time and place
utility
3 main: cheap/plentiful transportation, liberalization of trade rules/reduction of tariffs, &
cheap/plentiful information
A critical outcome of the supply chain is to deliver what? - Correct Ans-the right product
to the right place
The three broad requirements for "market conditions" to exist in general include buyer
and seller must be aware of each other, ______ , and _____ . - Correct Ans-legal
system of contract enforcement, means of exchange (currency)
When a specific point in time, or level of production, is chosen and costs are developed
for the various logistics cost centers, it is called what? - Correct Ans-short run analysis
These are designated by the U.S. secretary of the treasury for the purpose of storing,
repacking, sorting or cleaning imported merchandise entered for warehousing without
paying import duties while the goods are in storage. - Correct Ans-bonded warehouses
Many organizations are working more closely with what? - Correct Ans-customers,
suppliers, & various types of logistics suppliers
Full collaboration is the dynamic combination of what? - Correct Ans-both vertical and
horizontal collaboration
A third-party logistics firm may be defined as what? - Correct Ans-an external supplier
that performs or manages all or part of a company's logistics functions
Scmn3710
,Scmn3710
SQ: Scorecard and key performance indicators (KPIs) refer to what? - Correct Ans-
metrics to manage logistics operations
An important sustainability issue that has received much more security in recent years
is the: - Correct Ans-reduction in packaging waste by using alternative materials
The essence of demand management is to estimate and manage ___________ and
use this information to make operating decisions. - Correct Ans-customer demand
SQ: An inbound-to-operations logistics system is also referred to as what? - Correct
Ans-physical supply
One type of demand fluctuation is caused by random variation. What is random
variation? - Correct Ans-a development that cannot normally be anticipated
SQ: Traditional customer profitability analyses would start with ______ less returns and
allowances (net sales) and subtract the cost of goods sold. - Correct Ans-gross sales
While interest has traditionally focused more on the overall length of the OTC cycle,
recent attention has been centered on what? - Correct Ans-variability or consistency of
this process
Applying Internet technology to the order management process has allowed
organizations to not only take time out of the process but also to what? - Correct Ans-
increase the velocity of cash back to the selling organization
SQ: Most retailers are essentially supply chain companies since when? - Correct Ans-
they buy products produced by others
It can be argued that this is the second language of logistics and supply chain
management. - Correct Ans-finance
SQ: Logistics is the process of anticipating customer needs and wants; acquiring the
capital, materials, people, technologies, and information necessary to meet those needs
and wants; optimizing the goods- or service-producing network to fulfill customer
requests; and utilizing the network to fulfill customer requests in a timely manner. This is
a what? - Correct Ans-general definition
Which of these is NOT a trend in today's logistics environment that may have significant
effects on decisions involving logistics facility location? - Correct Ans-addition of many
wholesaler/distributor operations
This type of fulfillment model has the manufacturer delivering its products directly to the
retailers' stores. - Correct Ans-None of the above
-outsourced
Scmn3710
, Scmn3710
-integrated
-flow-through
-store-fulfillment
Which is correct regarding tapering rates? - Correct Ans-the principle is based on the
carrier's ability to spread certain fixed shipment costs over a greater number of miles
Identify the proper sequence of the three "flows" in the supply chain.
1.product
2.cash
3.information - Correct Ans-1,3,2
As the dollar value of a product increases, packaging costs will: - Correct Ans-Increase
There are four strategies that firms can use to balance supply and demand; price, lead
time, inventory, and ___ - Correct Ans-Production flexibility
The global logistics channel intermediary that supervises the movement of goods
through customs and ensures that the documentation accompanying a shipment is
complete and accurate is known as what? - Correct Ans-a customs house broker
SQ: In his book "The Wealth of Nations", Adam Smith stated that economies and
companies could improve their wealth by what? - Correct Ans-allowing specialization of
tasks
Adam Smith in his renowned treatise, The Wealth of Nations, provided not only a
rationale for a market economy based upon competition, but also advanced a rationale
for trade among nations called the - Correct Ans-Theory of Absolute Advantage
Gross margin equals what? - Correct Ans-sales - COGS
SQ: The purpose of this chapter is to what? - Correct Ans-develop quantitative tools to
show how metrics can be linked to financial performance
SQ: An outbound-to-customer logistics system is also referred to as what? - Correct
Ans-physical distribution
SQ: The term functional silos refers to: - Correct Ans-lack of coordination between
departments
Order management system represents the principal means by which? - Correct Ans-
buyers and sellers communicate information relating to individual orders of product
The term replenishment cycle refers to what? - Correct Ans-the acquisition of additional
inventory
Scmn3710
SCMN 3710 Exam 1 End of Term 2025
SQ: The three fundamental forms of utility under capitalist economic theory are: -
Correct Ans-Possession, Form, and Time/Space
The "Infrastructure" zone on the TC/CSL tradeoff curve is characterized by what? -
Correct Ans-fixed costs rising more rapidly than output (service)
According to prediction, __________, __________ and _________ will all house so
called Megacitites, whereas _________ will not have any cities of this size. - Correct
Ans-Asia, Latin America, and North America; Europe
Which of the following is NOT one of the the three main macroeconomic forces driving
the explosive growth in international trade since 1944: - Correct Ans-time and place
utility
3 main: cheap/plentiful transportation, liberalization of trade rules/reduction of tariffs, &
cheap/plentiful information
A critical outcome of the supply chain is to deliver what? - Correct Ans-the right product
to the right place
The three broad requirements for "market conditions" to exist in general include buyer
and seller must be aware of each other, ______ , and _____ . - Correct Ans-legal
system of contract enforcement, means of exchange (currency)
When a specific point in time, or level of production, is chosen and costs are developed
for the various logistics cost centers, it is called what? - Correct Ans-short run analysis
These are designated by the U.S. secretary of the treasury for the purpose of storing,
repacking, sorting or cleaning imported merchandise entered for warehousing without
paying import duties while the goods are in storage. - Correct Ans-bonded warehouses
Many organizations are working more closely with what? - Correct Ans-customers,
suppliers, & various types of logistics suppliers
Full collaboration is the dynamic combination of what? - Correct Ans-both vertical and
horizontal collaboration
A third-party logistics firm may be defined as what? - Correct Ans-an external supplier
that performs or manages all or part of a company's logistics functions
Scmn3710
,Scmn3710
SQ: Scorecard and key performance indicators (KPIs) refer to what? - Correct Ans-
metrics to manage logistics operations
An important sustainability issue that has received much more security in recent years
is the: - Correct Ans-reduction in packaging waste by using alternative materials
The essence of demand management is to estimate and manage ___________ and
use this information to make operating decisions. - Correct Ans-customer demand
SQ: An inbound-to-operations logistics system is also referred to as what? - Correct
Ans-physical supply
One type of demand fluctuation is caused by random variation. What is random
variation? - Correct Ans-a development that cannot normally be anticipated
SQ: Traditional customer profitability analyses would start with ______ less returns and
allowances (net sales) and subtract the cost of goods sold. - Correct Ans-gross sales
While interest has traditionally focused more on the overall length of the OTC cycle,
recent attention has been centered on what? - Correct Ans-variability or consistency of
this process
Applying Internet technology to the order management process has allowed
organizations to not only take time out of the process but also to what? - Correct Ans-
increase the velocity of cash back to the selling organization
SQ: Most retailers are essentially supply chain companies since when? - Correct Ans-
they buy products produced by others
It can be argued that this is the second language of logistics and supply chain
management. - Correct Ans-finance
SQ: Logistics is the process of anticipating customer needs and wants; acquiring the
capital, materials, people, technologies, and information necessary to meet those needs
and wants; optimizing the goods- or service-producing network to fulfill customer
requests; and utilizing the network to fulfill customer requests in a timely manner. This is
a what? - Correct Ans-general definition
Which of these is NOT a trend in today's logistics environment that may have significant
effects on decisions involving logistics facility location? - Correct Ans-addition of many
wholesaler/distributor operations
This type of fulfillment model has the manufacturer delivering its products directly to the
retailers' stores. - Correct Ans-None of the above
-outsourced
Scmn3710
, Scmn3710
-integrated
-flow-through
-store-fulfillment
Which is correct regarding tapering rates? - Correct Ans-the principle is based on the
carrier's ability to spread certain fixed shipment costs over a greater number of miles
Identify the proper sequence of the three "flows" in the supply chain.
1.product
2.cash
3.information - Correct Ans-1,3,2
As the dollar value of a product increases, packaging costs will: - Correct Ans-Increase
There are four strategies that firms can use to balance supply and demand; price, lead
time, inventory, and ___ - Correct Ans-Production flexibility
The global logistics channel intermediary that supervises the movement of goods
through customs and ensures that the documentation accompanying a shipment is
complete and accurate is known as what? - Correct Ans-a customs house broker
SQ: In his book "The Wealth of Nations", Adam Smith stated that economies and
companies could improve their wealth by what? - Correct Ans-allowing specialization of
tasks
Adam Smith in his renowned treatise, The Wealth of Nations, provided not only a
rationale for a market economy based upon competition, but also advanced a rationale
for trade among nations called the - Correct Ans-Theory of Absolute Advantage
Gross margin equals what? - Correct Ans-sales - COGS
SQ: The purpose of this chapter is to what? - Correct Ans-develop quantitative tools to
show how metrics can be linked to financial performance
SQ: An outbound-to-customer logistics system is also referred to as what? - Correct
Ans-physical distribution
SQ: The term functional silos refers to: - Correct Ans-lack of coordination between
departments
Order management system represents the principal means by which? - Correct Ans-
buyers and sellers communicate information relating to individual orders of product
The term replenishment cycle refers to what? - Correct Ans-the acquisition of additional
inventory
Scmn3710
