Materials Management - 11

LIST OF ATTEMPTED QUESTIONS AND ANSWERS


True/False
Question EOQ model is based on the assumption that unit price is
fixed.
Correct Answer True
Your Answer False


Multiple Choice Multiple Answer
Question Obsolescence cost is :-
Correct Answer Due stock on hand , Part No. / Name
Your Answer Due stock on hand , Part No. / Name


Multiple Choice Multiple Answer
Question Set-up cost comprises of :-
Correct Answer Work-order cost , Idle time cost
Your Answer Work-order cost , Idle time cost


Multiple Choice Single Answer
Question Quantity discounts reduces :-
Correct Answer Procurement cost
Your Answer Material cost


Multiple Choice Single Answer
Question The document which is prepared by the engineering department
is :-
Correct Answer Bill of material
Your Answer Bill of material


Multiple Choice Single Answer
Question Which of the following is not the external factor
influencing materials planning?
Correct Answer Corporate objective
Your Answer Corporate objective


Select The Blank
Question Down time means ________.
Correct Answer Time required by equipment to become OK
Your Answer Time required by equipment to become OK


Multiple Choice Single Answer
Question Security deposit means :-
Correct Answer Amount as reserve-part kept by scrap contractor for
final adjustment
Your Answer Amount paid by contractor to company


Multiple Choice Single Answer
Question Identifying technical, financial, managerial and quality
assurance capability of the vendors and thereby generate data to serve basis
for preliminary source selection is :-
Correct Answer Source investigation stage
Your Answer Source investigation stage


Select The Blank
Question ________specification are usually flexible and can be
altered during consultation with different manufacturers of the equipment.
Correct Answer Equipment
Your Answer Technical


Multiple Choice Single Answer
Question Issues to top up supply to pre-fixed levels of items are :-
Correct Answer Imprest issues
Your Answer Imprest issues


Multiple Choice Multiple Answer
Question Requests for price increase are received on account of the
following reasons :-
Correct Answer Increase in cost of raw materials and boughtout
parts , Changes in tax structure , Added work content
Your Answer Increase in cost of raw materials and boughtout parts ,
Changes in tax structure , Added work content


Select The Blank
Question Stock held by company represents ________.
Correct Answer Money
Your Answer Money


Select The Blank
Question Method suitable for items which are either of purely
seasonal is ________.
Correct Answer Seasonal buying
Your Answer Seasonal buying


Multiple Choice Single Answer
Question The buying which is received in staggered lots, each lot at
times may equal EOQ is :-
Correct Answer Contract buying
Your Answer Schedule buying


Multiple Choice Multiple Answer
Question Special advance license for deemed export is granted in
following cases :-
Correct Answer Supply of goods against advance license /Remission
scheme , Supply of goods to export oriented units , Supply of capital goods
to holders of licenses under EPCG Scheme
Your Answer Supply of goods against advance license /Remission scheme ,
Supply of goods to export oriented units , Supply of capital goods to
holders of licenses under EPCG Scheme


True/False
Question Supplier's request for price increase should be analysed
patiently by the buyer. A curt 'no' or 'negative' reply spoils
relationships.
Correct Answer True
Your Answer True


Multiple Choice Multiple Answer
Question Actions involved in sample validation are :-
Correct Answer Follow up with the supplier until sample submission
, Sample inspection , Feedback on defects and defect prevention
Your Answer Sample inspection , Feedback on defects and defect
prevention


Multiple Choice Multiple Answer
Question Special stores are created where :-
Correct Answer Material need to be held under the control of the
bank , Material need to be held for perishable items , Material need to be
held for explosive & inflammable items
Your Answer Material need to be held for explosive & inflammable items ,
Material need to be held for costly items


Select The Blank
Question ________ is suitable for procurement of prototypes,
fixtures, development items.
Correct Answer Cost plus percentage of cost.
Your Answer Fixed price agreements


Select The Blank
Question In instantaneous replenishment system, production rate is
________ .
Correct Answer Infinite
Your Answer Constant


Multiple Choice Single Answer
Question Organization decided to import when :-
Correct Answer Item is not available in the country
Your Answer Item is very critical functioning


Multiple Choice Single Answer
Question Operating systems process data for :-
Correct Answer Routine operations of the depts.
Your Answer Routine operations of the depts.


Select The Blank
Question In MRP-1, manufacturing cycle of finished product is
________.
Correct Answer Long
Your Answer Short


Match The Following
Question Correct Answer Your Answer

JIT Highly vulnerable to supply failures Purchasing time

TPM Removal of uncertainty Highly vulnerable to supply failures

Quality at source Elimination of incoming inspection Elimination
of incoming inspection

Lower unit cost JIT Quantity of production

True/False
Question Materials department is service department.
Correct Answer True
Your Answer False


Select The Blank
Question Malpractices are ________.
Correct Answer Manipulations by stores staff
Your Answer Manipulations by stores staff


True/False
Question Value analysis is necessary when company's profits soars.
Correct Answer False
Your Answer False


Match The Following
Question Correct Answer Your Answer

Fast moving items Very near to the issue counter Very near to the
issue counter

Antibiotics In a air conditioned store In a air conditioned store

Costly items like fuel injector In locked cupboard & away from entrance of
store. In locked cupboard & away from entrance of store.

Inflammable & hazardous items In a separate store In a separate store

Multiple Choice Multiple Answer
Question Discolourisation of soaps is due to :-
Correct Answer Exposure to light , Moisture
Your Answer Exposure to light , Moisture


Multiple Choice Multiple Answer
Question Following are benefits of scientific stoke management :-
Correct Answer Reduction in downtime by efficient issues ,
Inventory control , Very less time required to identify & issue material
Your Answer Reduction in downtime by efficient issues , Very less time
required to identify & issue material


Multiple Choice Multiple Answer
Question Following special schemes are announced by Indian Government
under which import can be permitted at zero duty or at less duty :-
Correct Answer Export promotion capital goods scheme , Diamond
&Jewellary promotion scheme , Import by 100% export oriented units
Your Answer Export promotion capital goods scheme , Import by 100%
export oriented units


True/False
Question Post parcel consignments are cleared through customs &
clearance is done through foreign post office.
Correct Answer True
Your Answer False


True/False
Question Number of free days allowed for air consignments is 15 days
from the flight date.
Correct Answer False
Your Answer False


True/False
Question The trade discount is not allowed as a percentage of
published price.
Correct Answer False
Your Answer False


Multiple Choice Multiple Answer
Question Receiving inspector should have to :-
Correct Answer Segregate defectives , Maintain vendor wise quality
records
Your Answer Segregate defectives , Maintain vendor wise quality records


Multiple Choice Single Answer
Question Supplier may be asked to provide assistance for the first
few days of working so that production losses can be avoided is known as :-
Correct Answer Spare part and supply contracts
Your Answer Seller's technical assistance during start up.


Select The Blank
Question All incoming materials are insured against ________
Correct Answer Damage / loss
Your Answer Damage / loss


True/False
Question Make or buy decision are of common concern to both materials
and production department.
Correct Answer True
Your Answer True


Multiple Choice Single Answer
Question Inflammable storage areas should be :-
Correct Answer Well insulated
Your Answer Well insulated


Multiple Choice Multiple Answer
Question The sub system of numerical system involves following :-
Correct Answer Sequential code , Decimal code , Block code system
Your Answer Sequential code , Decimal code , Block code system


Multiple Choice Single Answer
Question Stock-out is due to :-
Correct Answer Delay in deliveries
Your Answer Delay in deliveries


Select The Blank
Question ________is reimbursement of actual costs plus fixed fee.
Correct Answer Cost plus fixed fee
Your Answer Cost plus fixed fee


Select The Blank
Question ________ is essence of purchase order.
Correct Answer Delivery
Your Answer Delivery


Multiple Choice Multiple Answer
Question Performance of product requires :-
Correct Answer Functionality , Reliability
Your Answer Functionality , Reliability


True/False
Question Ex-works means sale is made on rail/truck at the station of
dispatch.
Correct Answer False
Your Answer False


True/False
Question The trade discount is not allowed as a percentage of
published price.
Correct Answer False
Your Answer False

Posted in: Materials Management(Set-4)