Production Planning and Control - 4

LIST OF ATTEMPTED QUESTIONS AND ANSWERS

Multiple Choice Multiple Answer
Question
Purchase cost include :-
Correct Answer
Excise , Packing and forwarding , Octroi
Your Answer
Excise , Octroi

True/False
Question
Inspection operations is a part of process plan for a part.
Correct Answer
True
Your Answer
True

Multiple Choice Single Answer
Question
Why customer is called the king?
Correct Answer
Customer's orders gives us work
Your Answer
Customer's orders gives us work

True/False
Question
To solve "n jobs - 3 machines" sequencing problem, the largest of time of any job on the second machine must be smaller than or equal to the smallest time of any job on first machine or third machine.
Correct Answer
True
Your Answer
True

True/False
Question
Line staff can assist PPC by manufacturing some of their needs in their own shops rather than making PPC to tool room or purchase.
Correct Answer
True
Your Answer
False

Multiple Choice Single Answer
Question
Ordering of raw material is based on :-
Correct Answer
Sales forecast
Your Answer
Material availability

Multiple Choice Multiple Answer
Question
The queue time is intended to compensate for the time for which the job has to :-
Correct Answer
Wait near the machines for its turn until other jobs ahead of it are completed. , Lie after its completion till is picked up and moved to next machine/work center. , Spend extra time due to emergent situations
Your Answer
Wait near the machines for its turn until other jobs ahead of it are completed. , Lie after its completion till is picked up and moved to next machine/work center. , Wait until inspection and storage is completed.

Multiple Choice Multiple Answer
Question
In an organization, poor material handling system may result in the following :-
Correct Answer
Damage to material/product , Delays in supply of material , Accidents while handling
Your Answer
Damage to material/product , Delays in supply of material , Accidents while handling

True/False
Question
LOB is a manual planning and scheduling technique similar in nature to MRP [Material Resource Planning].
Correct Answer
True
Your Answer
False

Multiple Choice Multiple Answer
Question
Standard time accounts for :-
Correct Answer
Contingency allowance , Operator's rating/efficiency , Tool change time
Your Answer
Contingency allowance , Tool change time , Job splitting time

True/False
Question
As per a study on materials management practices, a typical firm spends almost half of its rupee sales on goods purchased from vendors.
Correct Answer
True
Your Answer
False

Select The Blank
Question
________ analysis mainly helps to identify non-existing items for which store keeps bin cards, wastes computer memory or wastes computer stationary while preparing stores ledger.
Correct Answer
MNG Analysis
Your Answer
SOS Analysis

Multiple Choice Single Answer
Question
If more variety is to be manufactured, the manufacturing facilities would have to be :-
Correct Answer
Commonised
Your Answer
Expanded

True/False
Question
Work measurement is not useful for choosing between two alternate methods of production.
Correct Answer
False
Your Answer
False

True/False
Question
On completion of work the job card is returned to production planning and control department for reference and record.
Correct Answer
False
Your Answer
True

True/False
Question
Curve fitting method of statistical forecasting uses curve line approach.
Correct Answer
False
Your Answer
True

Select The Blank
Question
________ is a production line made up of operations that form or change the physical or sometimes chemical characteristics of a product.
Correct Answer
Fabrication line
Your Answer
Assembly line

Multiple Choice Single Answer
Question
Keeping procurement cost and carrying cost constant, if annual usage of certain product becomes 4 times, the EOQ would be :-
Correct Answer
Doubled
Your Answer
Halved

Multiple Choice Single Answer
Question
LOB technique was devised by US army in the year :-
Correct Answer
1952
Your Answer
1955

True/False
Question
Transit time for manufactured items should be considered only when it is insignificant.
Correct Answer
False
Your Answer
False

Multiple Choice Multiple Answer
Question
5 jobs are to be processed on machines M1 and M2 , first on M1 and then on M2. The processing times in hours are as follows.Find the sequence for 5 jobs that will minimize total elapsed time .also find idle time & total elapsed time. Job Processing time [ hours ] Machine M1 Machine M2 1 5 2 2 1 6 8 9 7 6 3 8 5 10 4
Correct Answer
2-4-3-5-1 , Minimum time 28 hours , Idle time = 1 & 2 Hours for M1 & M2 respectively.
Your Answer
2-4-3-5-1 , Minimum time 28 hours , Idle time = 1 & 2 Hours for M1 & M2 respectively.

Multiple Choice Multiple Answer
Question
SDE analysis is based on problems of procurement namely :-
Correct Answer
Non-availability , Scarcity , Longer lead time
Your Answer
Non-availability , Scarcity , Longer lead time

Multiple Choice Multiple Answer
Question
In a mass production assembly shop following work measurement techniques are used :-
Correct Answer
Time study , Work sampling , Production study
Your Answer
Time study , Production study , Analytical estimating

Multiple Choice Multiple Answer
Question
Due to the following emergent events, the queue time has to compensate for the time for which the job has to undergo an extra time :-
Correct Answer
Tool breakage , Job split up , Change in priorities
Your Answer
Tool breakage , Job split up , Store inventory

Select The Blank
Question
Given the following data :- procurement cost per order = Rs 30 ; frequency of ordering per year =4 ; number of suppliers = 3 . Form the above data, total procurement cost would be Rs ________.
Correct Answer
360
Your Answer
40

Multiple Choice Multiple Answer
Question
In replenishment system, the fixed order quantity system is also called by following names :-
Correct Answer
Fixed order system , Min-max system , Re-order point system
Your Answer
Fixed order system , Min-max system , Re-order point system

Multiple Choice Single Answer
Question
Given a decision for designing a line layout, major problem is subdividing a work so that smooth flow can result. The subdivision process is called :-
Correct Answer
Line balancing
Your Answer
Line balancing

True/False
Question
In CPM, use of dummy activities is much essential .
Correct Answer
False
Your Answer
False

Multiple Choice Multiple Answer
Question
The commonly used network techniques other than PERT and CPM are as follows :-
Correct Answer
MOSS [ Multi Operation Scheduling System ] , PCS [ Project Control System ] , GERT [ Graphical Evaluation Review Techniques ]
Your Answer
MOSS [ Multi Operation Scheduling System ] , PCS [ Project Control System ] , GERT [ Graphical Evaluation Review Techniques ]

Match The Following
Question
Correct Answer
Your Answer
Work element
Smallest portion of work identified during the breakdown analysis of the job.
Smallest portion of work identified during the breakdown analysis of the job.
Production line
Arrangement of workstations where each workman performs a pre-determined task on an incomplete unit which passes down the line of subsequent unit until it is finished.
Arrangement of workstations where each workman performs a pre-determined task on an incomplete unit which passes down the line of subsequent unit until it is finished.
Work Station
Assigned location, zone, place or stage in assembly where designated work is performed on part component of product.
Assigned location, zone, place or stage in assembly where designated work is performed on part component of product.
Station work content
Time required to perform the designated amount of work at a given work station and is obtained by adding up time of work elements allotted to the work station.
Time after which a finished product comes off the production line.

Multiple Choice Multiple Answer
Question
Steps involved in process planning include the following :-
Correct Answer
Enlist feature influencing selection of manufacturing process , Prepare sequence of basic operation , Write down route sheet
Your Answer
Prepare sequence of basic operation , Write down route sheet , Indent requirement of tooling and fixtures

Multiple Choice Single Answer
Question
Effective capacity per period is calculated as :-
Correct Answer
Multiplication of net capacity with labour efficiency
Your Answer
Multiplication of net capacity by utilization index

Select The Blank
Question
Orders with ________ slack time remaining per operation are run first.
Correct Answer
Shortest
Your Answer
Longest

Match The Following
Question
Correct Answer
Your Answer
Time taken by each job at each machine
Processing time
Job time
Time between starting of first job and completion of last job
Elapsed time
Processing time
Number of stages the job has to pass
Number of machines
Number of machines
Time during which the machine is standstill
Idle time
Job priority

Select The Blank
Question
LOB has advantage that it is more ________ oriented than MRP.
Correct Answer
Customer
Your Answer
Practical

Multiple Choice Single Answer
Question
A company has 10 machines, working in two shifts. Utilization index is 0.75 and shop efficiency is 80%. Effective capacity hours for loading and scheduling are :-
Correct Answer
576
Your Answer
576

Multiple Choice Single Answer
Question
The cost involved in subcontracting some of the operations of item outside the home plant is called :-
Correct Answer
Outside operations cost
Your Answer
Outdoor cost

Multiple Choice Multiple Answer
Question
LOB deals with :-
Correct Answer
Identification of crucial operations in a job , Establishment of schedules of crucial operations , Attraction of attention of those who do not conform to the schedule.
Your Answer
Identification of crucial operations in a job , Establishment of schedules of crucial operations , Attraction of attention of those who do not conform to the schedule.

Select The Blank
Question
________items should be excluded from ABC Analysis.
Correct Answer
Non-moving
Your Answer
Seasonal

Multiple Choice Single Answer
Question
To keep facilities busy, waiting time due to non-availability of work should be kept at :-
Correct Answer
Minimum .
Your Answer
Minimum .

Multiple Choice Single Answer
Question
Installed capacity :-
Correct Answer
Can be equal to or less than licensed capacity
Your Answer
Can be equal to or less than licensed capacity

Multiple Choice Single Answer
Question
Scheduling can be considered as a process of :-
Correct Answer
Fitting shop order into uncommitted time available for a machine
Your Answer
Determining time required for each operation

Select The Blank
Question
Short term forecasts are for ________.
Correct Answer
Material Planning
Your Answer
Material Planning

Select The Blank
Question
The ________ makes scheduling process simpler but does not provide economy in manufacture.
Correct Answer
First-come-first scheduled
Your Answer
First-come-first scheduled

Select The Blank
Question
Good quality and ________are the two main requirements to secure maximum business from a customer.
Correct Answer
Competitive rates
Your Answer
Competitive rates

Select The Blank
Question
Generally for ________ flow system, Heuristic method is preferred.
Correct Answer
Intermittent
Your Answer
Continuous

Multiple Choice Single Answer
Question
Sequencing helps management to determine the most economical job sequence the one that consumes minimum :-
Correct Answer
Elapsed time
Your Answer
Lead time

Read more »

Posted in: Production Planning and Control (Set-2)

Production Planning and Control - 3

LIST OF ATTEMPTED QUESTIONS AND ANSWERS

True/False
Question
Purchase department must keep PPC informed regarding lead time of different items specially where lead times are extended.
Correct Answer
True
Your Answer
True

True/False
Question
In order to complete a project on time, each critical activity need not be completed in time.
Correct Answer
False
Your Answer
False

Select The Blank
Question
Because of uncertainty of activity timings, PERT acquired a shape of ________ model.
Correct Answer
Probabilistic
Your Answer
Probabilistic

True/False
Question
Flexibility and product variety are not inter-related with each other.
Correct Answer
False
Your Answer
False

Multiple Choice Multiple Answer
Question
The 'G' group of GOLF analysis covers items procurement from Government suppliers such as :-
Correct Answer
STC , MMTC , Public Sector Undertaking
Your Answer
STC , MMTC , Public Sector Undertaking

Select The Blank
Question
Buying for C quantities should be made in ________ quantities .
Correct Answer
Large
Your Answer
Small

Select The Blank
Question
Of all the work measurement techniques the most widely used techniques is________.
Correct Answer
Time study
Your Answer
Time study

Multiple Choice Single Answer
Question
Keeping available time per day constant, if the desired production rate per day is to be doubled ,cycle time will be reduced by :-
Correct Answer
0.5
Your Answer
0.5

Select The Blank
Question
In alternate routing, the delayed job may be routed to a ________ machine where rate of production is faster.
Correct Answer
Costlier
Your Answer
New

Multiple Choice Single Answer
Question
Mass & flow production and process production are categorized under :-
Correct Answer
Continuous production
Your Answer
Continuous production

Multiple Choice Single Answer
Question
The earliest start time of an activity equals to earliest event time of :-
Correct Answer
Tail event
Your Answer
Head event

Multiple Choice Single Answer
Question
If efficiency is more, the manufacturing time required for completion of job would be generally :-
Correct Answer
Less
Your Answer
Less

Match The Following
Question
Correct Answer
Your Answer
Move order
Transport material from and to required work centers
Transport material from and to required work centers
Materials Order
Allocation of material required in connection with shop order
Allocation of material required in connection with shop order
Work Order
Bird's eye view of production programme
Order from contractor to execute job
Production Order
Reserve material required in connection with sales order
Reserve material required in connection with sales order

Multiple Choice Single Answer
Question
Development of additional vendors/suppliers depends upon :-
Correct Answer
Sales forecast
Your Answer
Sales forecast

Multiple Choice Single Answer
Question
The assignment method is also called as :-
Correct Answer
Hungarian Method
Your Answer
Hungarian Method

Multiple Choice Multiple Answer
Question
Material control function embraces a following techniques :-
Correct Answer
Make -or -buy decision , Pareto's analysis , Replenishment system
Your Answer
Make -or -buy decision , Replenishment system

Multiple Choice Multiple Answer
Question
Overtime can be avoided in many ways and they are :-
Correct Answer
Unrealistic delivery date , Acceptance of too many rush order , Excessive machine breakdown
Your Answer
Acceptance of too many rush order , Excessive machine breakdown , Insufficient manpower or machines

Select The Blank
Question
Lead time is ________ for different items.
Correct Answer
Different
Your Answer
Different

Multiple Choice Multiple Answer
Question
The tooling data is prepared in respect of following measuring instruments :-
Correct Answer
Vernier caliper , Micrometer screw gauge , Strain gauge
Your Answer
Vernier caliper , Micrometer screw gauge , Strain gauge

True/False
Question
The LOB technique is most appropriate for assembly operations involving number of distinct components.
Correct Answer
True
Your Answer
True

Select The Blank
Question
If number of work stations is 8 and work content of all stations is 32 , the cycle time would be ________.
Correct Answer
4
Your Answer
4

Multiple Choice Multiple Answer
Question
The minimum requirements for application software for line balancing are as follows :-
Correct Answer
1 Ghz processor , 1 Gb hard Disk free memory , Windows or equivalent operating system.
Your Answer
1 Ghz processor , 1 Gb hard Disk free memory , Windows or equivalent operating system.

Multiple Choice Multiple Answer
Question
Detachable Card contain following information :-
Correct Answer
Quantity produced , Operation , Date of completion
Your Answer
Quantity produced , Operation , Sequence of operation

Multiple Choice Single Answer
Question
The assembly work content [ Wi ] of the i'th station having n work stations is given by :-
Correct Answer
å Wi from i=1 to n
Your Answer
Wi / n

True/False
Question
Production Planning and Control makes the supervisor ineffective.
Correct Answer
True
Your Answer
False

Select The Blank
Question
________ are grouped so that their total time is preferably equal to or little lesser than the time available each work station.
Correct Answer
Tasks
Your Answer
Assembly lines

Multiple Choice Single Answer
Question
The work measurement and time study belong to the following school of management :-
Correct Answer
Scientific School of management
Your Answer
Scientific School of management

Multiple Choice Multiple Answer
Question
Economic indicator for forecasting fertilizer requirements are :-
Correct Answer
Land under cultivation , Trends of rainfall , Credit offered by banks
Your Answer
Land under cultivation , Trends of rainfall , Credit offered by banks

Multiple Choice Single Answer
Question
As the quantity increases, the procurement cost :-
Correct Answer
Reduces
Your Answer
Also increases

Multiple Choice Multiple Answer
Question
To minimize total throughout time we are required to minimize :-
Correct Answer
Queuing , Idle time , Inventory
Your Answer
Queuing , Idle time

Multiple Choice Multiple Answer
Question
Following are the factors which influence tool life :-
Correct Answer
Type of tool , Material it is required to operate upon , Operators efficiency
Your Answer
Type of tool , Material it is required to operate upon , Operators efficiency

Multiple Choice Single Answer
Question
What are the customer's expectation from the supplier?
Correct Answer
Consistent good quality of products
Your Answer
Consistent good quality of products

Multiple Choice Multiple Answer
Question
While communicating to customer on delays in delivery following information should be given :-
Correct Answer
Information on identification of job , Reasons for delays , Revised date of delivery
Your Answer
Reasons for delays , Revised date of delivery , Derailed production records

Select The Blank
Question
Job production requires ________ capital investment.
Correct Answer
Lowest
Your Answer
High

Multiple Choice Multiple Answer
Question
To operate fixed order quantity system, following parameters are required to be fixed:-
Correct Answer
Minimum stock , Re-order point , Standard reorder quantity
Your Answer
Minimum stock , Re-order point , Breakeven point

Match The Following
Question
Correct Answer
Your Answer
End piece allowance
Material insufficient to produce one piece
Material insufficient to produce one piece
Stock allowance
Quantity to meet requirement of spares
Quantity to meet requirement of spares
Machining allowance
Extra material requirement
Extra material requirement
Spoilage allowance
Process rejection
Process rejection

Select The Blank
Question
Work sampling is ________
Correct Answer
Done at random interval
Your Answer
Done continuously without interval

Select The Blank
Question
The information on the nature of tooling required for an item can be obtained from its ________.
Correct Answer
Route sheet
Your Answer
Route sheet

Multiple Choice Multiple Answer
Question
The main characteristics of jobbing production are :-
Correct Answer
Small production runs , Discontinuous flow of materials , Disproportionate manufacturing cycle time
Your Answer
Small production runs , Discontinuous flow of materials , Disproportionate manufacturing cycle time

Multiple Choice Single Answer
Question
Let us suppose that activity P & Q can not start until activity R& S are completed. Activities P &Q are therefore :-
Correct Answer
Succeeding
Your Answer
Succeeding

Multiple Choice Single Answer
Question
Critical ratio equals to one indicates that :-
Correct Answer
Job is just on schedule and requires to be watched closely.
Your Answer
Job is just on schedule and requires to be watched closely.

True/False
Question
Random fluctuation is addition of cyclical fluctuation and seasonal fluctuation.
Correct Answer
False
Your Answer
True

True/False
Question
Labour efficiency factor is applied after capacity requirement of equipment is calculated.
Correct Answer
False
Your Answer
True

Select The Blank
Question
________ is the specific instant of time that marks start and end of activity.
Correct Answer
Event
Your Answer
Event

True/False
Question
Increase in inventory carrying cost increases EOQ.
Correct Answer
False
Your Answer
True

True/False
Question
A company where different personnel give conflicting delivery promises need to improve its scheduling and processing function.
Correct Answer
True
Your Answer
True

True/False
Question
A type items are always vital under VED analysis.
Correct Answer
False
Your Answer
True

Read more »

Posted in: Production Planning and Control (Set-2)

Compensation Management - 9

LIST OF ATTEMPTED QUESTIONS AND ANSWERS 3rd

True/False
Question If the rent paid by employee for his accommodation is equal to or more than the value of rent-free house, the value of the concession in rent is 'NIL'.
Correct Answer True
Your Answer True

Multiple Choice Multiple Answer
Question Employees are paid incentives on 'Time' basis if :-
Correct Answer Units of output are difficult to measure , Delays in work are frequent , Quality is prime consideration
Your Answer Delays in work are frequent , Quality is prime consideration , Units of output are difficult to measure

True/False
Question In piece rate & time rate combination, if payment is calculated on the basis of piece rate guaranteed and if number of pieces fall below the minimum wages guaranteed, he is paid by time rate (T).
Correct Answer True
Your Answer False

Multiple Choice Single Answer
Question Every worker is ensured the minimum payment in :-
Correct Answer Piece rate & time rate combination
Your Answer Piece rate & time rate combination

Select The Blank
Question Wages have at least ________ connotations from stand points of employers and employees.
Correct Answer 2
Your Answer 2

True/False
Question Taylor differential piece rate system is suitable for large scale production.
Correct Answer True
Your Answer True

Multiple Choice Single Answer
Question In profit-sharing plan, the proportion of profits to be distributed among the employees is determined :-
Correct Answer In advance
Your Answer In advance

Select The Blank
Question Inter-firm differentials reflect ________ wage levels of workers.
Correct Answer Relative
Your Answer Relative

Match The Following
Question Correct Answer Your Answer

High wage level system Incentive to worker to improve performance Fixed cost decreases

Graduated time rate system Economical factor is consider Protect learners & slow workers

Straight piece rate system Productivity improvement Productivity improvement

Piece rate system & time rate combination Protect learners & slow workers Incentive to worker to improve performance


Multiple Choice Single Answer
Question Following is not a function of personnel department :-
Correct Answer Time keeping.
Your Answer Time keeping.

Multiple Choice Single Answer
Question Group incentive plans are best suited for :-
Correct Answer Small work groups
Your Answer Small work groups

Multiple Choice Multiple Answer
Question To make Scanlon plan successful, there should be :-
Correct Answer Stable product lines and costs , Strong commitment to plan , Healthy labour relations
Your Answer Stable product lines and costs , Strong commitment to plan , Healthy labour relations

Multiple Choice Multiple Answer
Question Profit sharing, as an incentive plan, realizes these advantages :-
Correct Answer Higher profits , Increased efficiency , Climate for better employee relations
Your Answer Higher profits , Increased efficiency , Climate for better employee relations

Select The Blank
Question The wages of workers not present at the time of payment disbursement should be entered into ________.
Correct Answer Undisbursed wage register
Your Answer Undisbursed wage register

Multiple Choice Multiple Answer
Question In India, Group incentive plans face problems like :-
Correct Answer High norms of standard work , Illiterate workforce , Numerous slabs in rate structure
Your Answer High norms of standard work , Illiterate workforce , Numerous slabs in rate structure

Multiple Choice Multiple Answer
Question Job analysis describes :-
Correct Answer Duties , Responsibilities , Working conditions
Your Answer Duties , Responsibilities , Working conditions

Multiple Choice Multiple Answer
Question Production bonus is calculated on the basis of output norms decided through :-
Correct Answer Job analysis , Time studies
Your Answer Job analysis , Time studies , Job enrichment

Multiple Choice Single Answer
Question A type of group incentive plan is :-
Correct Answer Profit sharing scheme
Your Answer Profit sharing scheme

Multiple Choice Multiple Answer
Question Components of wage & salary are :-
Correct Answer Basic wage , Overtime wage , Dearness allowance
Your Answer Basic wage , Overtime wage , Dearness allowance

Multiple Choice Single Answer
Question Financial &/or quantitative statement prepared & approved prior to period of time is called :-
Correct Answer Budget
Your Answer Budget

Multiple Choice Multiple Answer
Question Following are economic causes of idle time of labour :-
Correct Answer Trade cycles. , Non availability of working capital.
Your Answer Poor management. , Trade cycles. , Non availability of working capital.

Multiple Choice Multiple Answer
Question Forces that favour regional differences are :-
Correct Answer Low mobility , Lower skilled job , Sources of income
Your Answer Low mobility , Lower skilled job , Sources of income

Multiple Choice Multiple Answer
Question Any imbalance in input-output relation in any incentive payment scheme can result in :-
Correct Answer Tension , Lower productivity , More absenteeism
Your Answer Tension , Lower productivity , More absenteeism

Multiple Choice Single Answer
Question A worker produces 50 units a week of 06 days and piece rate is Rs.2/- per piece. Then his earning will be :-
Correct Answer Rs.100/-
Your Answer Rs.100/-

Multiple Choice Single Answer
Question Monetary incentives imply :-
Correct Answer External motivation
Your Answer External motivation

Multiple Choice Multiple Answer
Question Components of deductions in salary are :-
Correct Answer E.S.I. , Housing loan installment.
Your Answer E.S.I. , Housing loan installment.

Multiple Choice Single Answer
Question For designing profit sharing plan, the company has to first :-
Correct Answer Determine organisation's profit for year
Your Answer Enter into agreement

True/False
Question The Scanlon plan of profit sharing is more effective where no of participants is more than 1000.
Correct Answer False
Your Answer False

Multiple Choice Single Answer
Question HR or Personnel department realises the relative worth of jobs by :-
Correct Answer Job evaluation
Your Answer Job evaluation

Match The Following
Question Correct Answer Your Answer

I. L. O. To bring appropriate payment systems Emphasizes need for legislation

Child Exploitation Article 39 Article 39

Wage Policy Increase economic welfare To bring appropriate payment systems

Article 43 Emphasizes need for legislation To avoid exploitation of labour


Multiple Choice Single Answer
Question In co-partnership Incentive system, there is division of :-
Correct Answer Surplus profit
Your Answer Surplus profit

Select The Blank
Question Against the past practice of modest gradual increase applicable to all, with only marginal additional to the ________ performer.
Correct Answer Good
Your Answer Good

True/False
Question Insurance of a worker is a part of gross salary.
Correct Answer False
Your Answer False

Select The Blank
Question ________ are assured of a stable amount of money.
Correct Answer Employees
Your Answer Employees

True/False
Question Employer's contribution to Superannuation Fund is taxable.
Correct Answer False
Your Answer False

Multiple Choice Multiple Answer
Question Jobs are graded according to the relative skill :-
Correct Answer Effort , Responsibility , Calculations
Your Answer Effort , Responsibility

Multiple Choice Single Answer
Question In Payroll process, Cost of Living Index provides the basis for calculating :-
Correct Answer D.A.
Your Answer D.A.

Multiple Choice Single Answer
Question Important aspect while determining pay ranges is to make general adjustments in wage structure according to the :-
Correct Answer Price index number
Your Answer Competitors pay structure

True/False
Question If the car is used for office duty, only the value of the use of motor car is taken as 'NIL'.
Correct Answer True
Your Answer True

True/False
Question In case of construction work / transportation / bidi rolling businesses, internal check of disbursement of payment to workers is very important.
Correct Answer True
Your Answer True

Multiple Choice Single Answer
Question To enable employees to participate in profit sharing, employees should have :-
Correct Answer Worked for certain no. of years in company
Your Answer Worked for certain no. of years in company

Multiple Choice Multiple Answer
Question Incentive plans fail due to :-
Correct Answer Unfair standards , Fear of rate cut , Lack of required tools / training
Your Answer Unfair standards , Fear of rate cut , Lack of required tools / training

Select The Blank
Question The scanlon plan of profit sharing gives utmost importance to ________.
Correct Answer Employee participation
Your Answer Employee participation

True/False
Question If workers do not understand relationship between performance and rewards, incentive plans cannot motivate workers.
Correct Answer True
Your Answer True

Select The Blank
Question ________ is a source document for preparation of wage sheet.
Correct Answer Attendance Register
Your Answer Attendance Register

Multiple Choice Multiple Answer
Question Salient features of profit-sharing are :-
Correct Answer Agreement is voluntary , Payment may be in cash / stock of future credits , Computation on the basis of some agreed formula
Your Answer Agreement is voluntary , Payment may be in cash / stock of future credits , Computation on the basis of some agreed formula

Multiple Choice Single Answer
Question Time booking on job helps for :-
Correct Answer Estimating labour cost.

Your Answer Estimating labour cost.

Read more »

Posted in: Compensation Management (Set - 3)

Compensation Management - 8

LIST OF ATTEMPTED QUESTIONS AND ANSWERS 2nd

Select The Blank
Question During the research it was found that in certain cities prevailing wage rate are ________where as organizational ability to pay is more.
Correct Answer Very low
Your Answer Very low

True/False
Question Within the factory group promotion is important.
Correct Answer False
Your Answer False

Multiple Choice Single Answer
Question Perquisites or profits or any remuneration received from person other than employer is taxable under the head :-
Correct Answer Income from other sources
Your Answer Income from other sources

Select The Blank
Question ________ under profit sharing contributes directly to an employee's immediate economic gain.
Correct Answer Cash plan
Your Answer Cash plan

True/False
Question House rent allowance paid to a employee residing in his own house is not exempt from tax.
Correct Answer True
Your Answer True

Select The Blank
Question Wage differentials are inter-industry, inter-firm and ________.
Correct Answer Inter area
Your Answer Inter area

True/False
Question Direct labour costs are included in cost of production of each unit.
Correct Answer True
Your Answer True

Multiple Choice Single Answer
Question Time spent by same worker on various jobs is recorded on daily basis in :-
Correct Answer Daily time sheet.
Your Answer Daily time sheet.

Multiple Choice Multiple Answer
Question Monetary incentive plans result in :-
Correct Answer Greater output per man-hour , Lower unit cost , Higher wages
Your Answer Greater output per man-hour , Lower unit cost , Higher wages

Select The Blank
Question Today there is strong competition for acquiring as much ________ as possible.
Correct Answer Wealth
Your Answer Wealth

Select The Blank
Question Executives are compensated for the various ________ incurred by them.
Correct Answer Expenses
Your Answer Expenses

Multiple Choice Multiple Answer
Question Broad groups may be illustrated within manufacturing as :-
Correct Answer Managerial , Clerical , Factory
Your Answer Managerial , Clerical , Factory

Multiple Choice Multiple Answer
Question Bonus, as the incentive to managers is determined :-
Correct Answer By formula , By discretion used in allocation of bonus
Your Answer By formula , By discretion used in allocation of bonus , By Board of Directors

Select The Blank
Question ________ generated out of payroll system shows amounts of debits and credits.
Correct Answer Journal entry
Your Answer Bills entry

True/False
Question Performance standards & norms for incentive payments should be set up high for better results.
Correct Answer False
Your Answer True

Match The Following
Question Correct Answer Your Answer

Merric's multiple piece rate plan Low piece rate for slow workers and high piece rate for higher production Sharing profits undertaking

Emerson efficiency plan Gradual increase in remuneration based on efficiency Bonus to the group

Co-partnership system Sharing profits undertaking No fear of wage cut

Taylor's differential piece-rate plan No fear of wage cut Gradual increase in remuneration based on efficiency


Multiple Choice Single Answer
Question Following is method of time booking :-
Correct Answer Daily time sheet.
Your Answer Time recording clock.

Multiple Choice Single Answer
Question Work study department is engaged in activities like determining :-
Correct Answer Standard procedure
Your Answer Labour cost

Match The Following
Question Correct Answer Your Answer

Cost accounting Dept. Accumulation & classification all cost data Selection & training of employees.

Personnel Dept. Selection & training of employees. Selection & training of employees.

Payroll Dept. Maintain record of wage rate of each employee. Maintain record of wage rate of each employee.

Engineering Dept. Preparation of time & motion studies Preparation of time & motion studies


Multiple Choice Multiple Answer
Question Following are unavoidable causes of employees turnover :-
Correct Answer Retirement , Marriage
Your Answer Retirement , Marriage

True/False
Question The cost of time lost in strikes is charged to Profit & Loss Account.
Correct Answer True
Your Answer True

Select The Blank
Question Ratio of number persons over 4 years of service at present to total employed 4 years ago is called ________
Correct Answer Skill wastage index
Your Answer Skill wastage index

Multiple Choice Multiple Answer
Question Following are causes of idle time of labour pertaining to production,
Correct Answer Failure of electricity. , Breakdown of machinery
Your Answer Failure of electricity. , Seasonal nature of demand. , Breakdown of machinery

Multiple Choice Single Answer
Question Disadvantage of maintaining hand written register for attendance is :-
Correct Answer Depends upon honesty.
Your Answer Depends upon honesty.

True/False
Question Salary is still the only or chief motivator for IT employees.
Correct Answer False
Your Answer True

Select The Blank
Question Cost of time spent on conducting interviews & selecting a candidate for ________ is called Replacement cost.
Correct Answer Replacement
Your Answer Replacement

True/False
Question The cost of living pay criterion is usually regarded as an automatic minimum equity pay criterion
Correct Answer True
Your Answer False

True/False
Question Incentive schemes sometimes lead to jealousies and misunderstanding among the workers.
Correct Answer True
Your Answer True

Multiple Choice Multiple Answer
Question Article 43 reads: State shall endeavour to secure by suitable legislation to all :-
Correct Answer Agricultural workers , Industrial , Working in a living wage
Your Answer Agricultural workers , Industrial , Working in a living wage

Multiple Choice Multiple Answer
Question Advantages of having several pay ranges for each organisations are :-
Correct Answer The management could take a more flexible stance with respect to the labour market , It made it easy to attract experienced employees from other organisations , It helped to ensure that there was an overlap between the pay rates and those prevailing in the labour market
Your Answer The management could take a more flexible stance with respect to the labour market , It made it easy to attract experienced employees from other organisations , It helped to ensure that there was an overlap between the pay rates and those prevailing in the labour market

True/False
Question If an employee pays fees for attending some management course, the fees can be allowed for deduction from salary income.
Correct Answer False
Your Answer False

Multiple Choice Multiple Answer
Question In profit-sharing plan, employees :-
Correct Answer Work more diligently , Try to achieve higher profits , Fulfill entirely their responsibilities
Your Answer Work more diligently , Try to achieve higher profits , Fulfill entirely their responsibilities

Select The Blank
Question ________ of payment recognizes that individuals are concerned about the money paid to them and also the relationship of this amount to what others are paid.
Correct Answer Equity approach
Your Answer Equity approach

Multiple Choice Single Answer
Question The total of direct & indirect material, labour & expenses is called :-
Correct Answer Total cost of production
Your Answer Prime cost

Multiple Choice Multiple Answer
Question Profit sharing plans can be on :-
Correct Answer Industry basis , Locality basis , Unit basis
Your Answer Industry basis , Locality basis , Unit basis

Select The Blank
Question Persons interested in enhancing their reputations and receiving recognition may respond to ________.
Correct Answer Verbal praise
Your Answer Verbal praise

Multiple Choice Multiple Answer
Question For the valuation of rent free accommodation, 'Salary' includes :
Correct Answer D A , Bonus , Education Allowance
Your Answer D A , Education Allowance

Multiple Choice Single Answer
Question Towns are getting converted into cities and cities into :-
Correct Answer Metro
Your Answer Metro

Multiple Choice Multiple Answer
Question Scanlon plan of profit sharing aims at :-
Correct Answer Workers participation , Reduction of cost of operation of increased production , Sharing in gains
Your Answer Workers participation , Reduction of cost of operation of increased production , Sharing in gains

Multiple Choice Single Answer
Question Indirect compensation mainly acts as :-
Correct Answer Maintenance factor
Your Answer Maintenance factor

Select The Blank
Question Overtime payment given to the worker due to general pressure of work is treated as ________ cost.
Correct Answer Indirect
Your Answer Indirect

Multiple Choice Multiple Answer
Question Which of the following are used to compensate major executives?
Correct Answer Straight salaries , Bonuses , Profit sharing
Your Answer Straight salaries , Bonuses , Profit sharing

Multiple Choice Single Answer
Question Long-term wage Incentive plans are useful, where :-
Correct Answer Jobs are inter-related
Your Answer Jobs are inter-related

Multiple Choice Single Answer
Question Group incentive payments are :-
Correct Answer Less than individual ones
Your Answer Less than individual ones

Multiple Choice Single Answer
Question The criterion, that means, wages paid should be adequate to enable an employee to maintain himself and his family at a reasonable level of existence is :-
Correct Answer The living wage
Your Answer The living wage

Multiple Choice Single Answer
Question According to the thinking and beliefs of these young persons, the major need filled by marriage is biological and this can be easily satisfied out of :-
Correct Answer Wedlock
Your Answer Wedlock

True/False
Question The payment of profit sharing plan is of uncertain nature because of uncertainty of profits to the company.
Correct Answer True
Your Answer True

Read more »

Posted in: Compensation Management (Set - 3)

Compensation Management - 7

LIST OF ATTEMPTED QUESTIONS AND ANSWERS 1st

Multiple Choice Single Answer
Question The wage and salary administration is concerned with the financial aspect of need, reward and :-
Correct Answer Motivation
Your Answer Motivation

Multiple Choice Multiple Answer
Question Documents used for wage analysis are :-
Correct Answer Job cards , Wage sheets
Your Answer Job cards , Wage sheets

Multiple Choice Single Answer
Question Basic purpose of Wage and Salary administration is to establish and maintain an equitable :-
Correct Answer Wage and Salary structure
Your Answer Compensation structure

True/False
Question IT jobs still remain the best paying jobs in the country.
Correct Answer True
Your Answer True

Match The Following
Question Correct Answer Your Answer

Francis A Walker 1840 - 1897 1772 - 1823

David Ricardo 1772 - 1823 1849 - 1883

Adam Smith 1723 - 1790 1723 - 1790

Karl Marx 1849 - 1883 1840 - 1897


True/False
Question Many companies have chosen some what shady reimbursement or perquisite in order to contain the overall cost in the assumption of being non taxable.
Correct Answer True
Your Answer True

Multiple Choice Multiple Answer
Question Differential piece rate system is suitable where :-
Correct Answer Fixed costs are higher in proportion to veriable cost , It is possible to count production accurately , There are standardised methods of production
Your Answer Fixed costs are higher in proportion to veriable cost , It is possible to count production accurately , There are standardised methods of production

Multiple Choice Single Answer
Question Dotcom companies were founded to go beyond :-
Correct Answer Physical business
Your Answer National boundaries

Multiple Choice Multiple Answer
Question Salesmen are usually given incentives in the form of sales commission because of :-
Correct Answer Unsupervised nature of most sales work , Tradition in the market , Assumption that incentives are needed to motivate salesman
Your Answer Unsupervised nature of most sales work , Tradition in the market , Assumption that incentives are needed to motivate salesman

Multiple Choice Multiple Answer
Question Following are avoidable causes of employees turnover :-
Correct Answer Unsatisfactory pay package , Absence of job satisfaction
Your Answer Unsatisfactory pay package , Better prospects outside , Absence of job satisfaction

Multiple Choice Multiple Answer
Question In dotcom companies, there is :-
Correct Answer Direct interaction with customers and client organizations , Reduction of capital cost , Huge no of employees
Your Answer Direct interaction with customers and client organizations , Reduction of capital cost , Huge no of employees

Multiple Choice Multiple Answer
Question Employees are paid incentives on 'Output' basis if :-
Correct Answer Units of output can be measured , Direct relationship between employee efforts and quantity of output , Jobs are standardised
Your Answer Units of output can be measured , Direct relationship between employee efforts and quantity of output , Jobs are standardised

True/False
Question Rate of change in the working force of an organisation during a period of time is known as employee turnover.
Correct Answer True
Your Answer True

True/False
Question Compensation given to an employee on termination or dismissal is considered as Salary Income.
Correct Answer True
Your Answer False

Select The Blank
Question The nature and extent of wage differential are conditioned by a ________.
Correct Answer Set of factors
Your Answer Set of conditions

Multiple Choice Single Answer
Question When a dotcom company starts earning profits, promoters are focused on the launch of:-
Correct Answer IPO
Your Answer IPO

Select The Blank
Question ________ is that portion of Dearness Allowance which Government declares to be paid for all purposes.
Correct Answer Dearness Pay
Your Answer Dearness Pay

Select The Blank
Question If the idle time is controllable and normal, its cost is treated as ________ cost.
Correct Answer Indirect
Your Answer Direct

Multiple Choice Single Answer
Question As industrialization taking place, the family values have :-
Correct Answer Changed
Your Answer Changed

Select The Blank
Question ________ are also aid to executives a certain percentage of the profits.
Correct Answer Bonuses
Your Answer Bonuses

Multiple Choice Single Answer
Question Wages of security men in a production unit comes under :-
Correct Answer Indirect labour
Your Answer Indirect labour

True/False
Question Time booking helps to ascertain direct and indirect labour costs.
Correct Answer True
Your Answer False

Multiple Choice Single Answer
Question Characteristic of a good compensation system is :-
Correct Answer Higher the efficiency of worker, higher is compensation.
Your Answer Higher the efficiency of worker, higher is compensation.

True/False
Question To maintain best manpower in the organization, Management Incentive Plan based on the individual performance is necessary.
Correct Answer True
Your Answer True

Select The Blank
Question Payment to out workers is done on ________ basis.
Correct Answer Monthly
Your Answer Piece rate.

Multiple Choice Single Answer
Question Expenses incurred by business for packing & packaging, advertisement, sales promotion is called :-
Correct Answer Overheads
Your Answer Overheads

True/False
Question With about 2-5 years of experience, an employee can move upto manager level from executive level in IT industry.
Correct Answer True
Your Answer True

Multiple Choice Single Answer
Question Variance analysis is done in case of :-
Correct Answer Standard costing
Your Answer Standard costing

Select The Blank
Question Compensation system should reduce ________.
Correct Answer Employee turnover
Your Answer Employee turnover

True/False
Question Economic system does result in the concentration of wealth.
Correct Answer False
Your Answer True

Select The Blank
Question ________ provides benefits at the time of retirement/ death / following disability of worker.
Correct Answer Deferred plan
Your Answer Deferred plan

Multiple Choice Single Answer
Question The expenditure on remuneration of workers/employees responsible for conversion of raw material into finished products is called :-
Correct Answer Direct labour
Your Answer Direct expenses

Multiple Choice Single Answer
Question If the employment is merely incidental to the exercise of a profession, the gains from such employment would be :-
Correct Answer Professional earnings
Your Answer Professional earnings

Select The Blank
Question Leave pay of current year is treated as ________.
Correct Answer Direct Expenses
Your Answer Direct Expenses

True/False
Question Group incentive system is more widely prevalent in the Indian industry than the system of individual incentive.
Correct Answer True
Your Answer True

Multiple Choice Single Answer
Question The wage structure or grade is comprised of jobs of appropriately equal difficulty or importance as determined by :-
Correct Answer Job evaluation
Your Answer Job evaluation

Select The Blank
Question ________ is financial / quantitative statement prepared & approved prior to a period of time.
Correct Answer Budget
Your Answer Budget

Multiple Choice Multiple Answer
Question Wage differentials are of following factors :-
Correct Answer Difference in labour efficiency , Social esteem , Occupation
Your Answer Difference in labour efficiency , Social esteem , Occupation

Multiple Choice Multiple Answer
Question Objectives laid down by I.L.O. are :-
Correct Answer Abolish malpractices , Abuse in wage payment , Promote Trade Union
Your Answer Abolish malpractices , Abuse in wage payment , Promote Trade Union

Multiple Choice Multiple Answer
Question Level II in junior managers comprises of :-
Correct Answer Engineers , Officers , Senior Engineers
Your Answer Engineers , Officers , Senior Engineers

Match The Following
Question Correct Answer Your Answer

Bonus to top management Overall corporate results Overall corporate results

Time' incentive plan Delays in work are frequent Unsupervised nature of job

Output' Incentive plan Units of output are measurable Units of output are measurable

Commission' to salesmen Unsupervised nature of job Group incentive


Multiple Choice Multiple Answer
Question Major components of compensation :-
Correct Answer Salary , Basic salary , Consolidated salary
Your Answer Salary , Consolidated salary

Multiple Choice Multiple Answer
Question Incentive schemes suffer because of :-
Correct Answer Tendency among workers to sacrifice quality for quantity , Rapid progress in technology , Disregard for safety regulations by workers
Your Answer Tendency among workers to sacrifice quality for quantity , Rapid progress in technology , Disregard for safety regulations by workers

Multiple Choice Multiple Answer
Question Aspects which were considered while determining pay ranges are :-
Correct Answer Maintain adequate difference between supervisors & subordinates , Attention must be given to handling upward changes in wage structure
Your Answer Maintain adequate difference between supervisors & subordinates , Attention must be given to handling upward changes in wage structure

Multiple Choice Single Answer
Question In recent times, in addition to stock options, employees of dotcom companies are demanding :-
Correct Answer Cash bonus
Your Answer Cash bonus

Select The Blank
Question Life and Medical insurance or reimbursement of medical bills is considered as a part of ________.
Correct Answer Perks
Your Answer Social security

Read more »

Posted in: Compensation Management (Set - 3)

Strategic Finance - 5

LIST OF ATTEMPTED QUESTIONS AND ANSWERS
True/False
Question Accounting standards (AS - 13) is now mandatory.
Correct Answer True
Your Answer True
Multiple Choice Multiple Answer
Question Exit costs are classified into 3 categories namely :-
Correct Answer Lost efficiency prior to separation , Job vacancy cost during the new
search , Termination pay
Your Answer Job vacancy cost during the new search , Termination pay ,
Recruiting new employee as a replacement of the left employee
Multiple Choice Multiple Answer
Question A firm's current assets include :-
Correct Answer Marketable securities , Receivables , Inventory
Your Answer Marketable securities , Receivables , Inventory
Multiple Choice Multiple Answer
Question In a merger decision, the value of a firm depends upon:-
Correct Answer Earnings , Operating characteristics of acquiring firm , Financial
characteristics of acquiring firm
Your Answer Earnings , Manpower of the acquiring firm , Financial characteristics
of acquiring firm
Multiple Choice Multiple Answer
Question A company is permitted to buy back its shares through stock
exchange in the following situations :-
Correct Answer The company shall complete the verification of acceptances within
15 days of the payout , The identity of the company as a purchaser
shall appear on the electronic screen when the order is placed , The
buy back shall be made only on stock exchanges with electronic
trading facility
Your Answer The company shall complete the verification of acceptances within
15 days of the payout , The identity of the company as a purchaser
shall appear on the electronic screen when the order is placed , It is
not mandatory to specify the maximum price at which the buy back
will be made
True/False
Question A merger will make sense to the acquiring firm if its shareholders
benefit.
Correct Answer True
Strategic Finance II Page 2 of 8
Your Answer True
Select The Blank
Question ________ Assets in the balance sheet are normally excluded from
the value of total assets.
Correct Answer Intangible
Your Answer Intangible
Multiple Choice Single Answer
Question What is a very important factor in any kind of merger?
Correct Answer Exchange ratio
Your Answer Pre merger price
Select The Blank
Question A shareholder expects a higher rate of return as a firm's
compensation for ________.
Correct Answer Increased risk
Your Answer Investment in projects to improve prestige or power
True/False
Question Usually cost data is perfect for ABC Analysis & distribution.
Correct Answer False
Your Answer True
Select The Blank
Question Forward or backward integration is a characteristic of ________.
Correct Answer Vertical Mergers
Your Answer Vertical Mergers
Multiple Choice Single Answer
Question Segment assets are determined after :-
Correct Answer Deducting related allowances / provisions reported as direct offsets
Your Answer Deducting income tax assets
Multiple Choice Single Answer
Question Acceptable audit requirements cannot be overlooked even under the
pressure of :-
Strategic Finance II Page 3 of 8
Correct Answer Timeliness & turnaround
Your Answer Mergers & acquisitions
Multiple Choice Single Answer
Question Which of the following is NOT a disadvantage of deferred payment
plan to the acquiring firm?
Correct Answer There is built - in cushion to the acquiring firm as total payment is not
made at the time of acquisition
Your Answer Freedom of operation to the management of the newly acquired firm
True/False
Question A single organisation model serves to keep all individual initiatives to
be targeted into a co-ordinated plan.
Correct Answer True
Your Answer True
True/False
Question Assets held as stock - in - trade are also investments.
Correct Answer False
Your Answer True
Multiple Choice Single Answer
Question In an aggressive approach :-
Correct Answer There is a very large risk of shortage of funds
Your Answer There is a very large risk of shortage of funds
True/False
Question Organisational changes are similar to mission changes.
Correct Answer True
Your Answer False
Multiple Choice Multiple Answer
Question The internal staffing performance indicators are :-
Correct Answer Sales per employee , Recovery rate , Utilization %
Your Answer Sales per employee , Recovery rate , Utilization %
Select The Blank
Strategic Finance II Page 4 of 8
Question The most popular kind of dividend policy is one that pays a
________.
Correct Answer Regular, steady dividend
Your Answer Regular, steady dividend
Match The Following
Question Correct Answer Your Answer
Amount involved in buy
back
Not to exceed 25 % of the
total paid up capital
Not to exceed 25 % of the
total paid up capital
Articles of Association Authorize buy back of
securities
Resolution permitting the
buy back of shares
Board of Directors Resolution permitting the
buy back of shares
Authorize buy back of
securities
Shares to be bought back Fully paid up Fully paid up
Multiple Choice Single Answer
Question A good accounting system does NOT have the characteristics such
as :-
Correct Answer Does not cover decisions over the life cycle
Your Answer Takes into account time as an important parameter
Multiple Choice Single Answer
Question Fixed price tender offers are accompanied by an abnormal
announcement period return of :-
Correct Answer 8 - 10 %
Your Answer 6 - 8 %
Multiple Choice Multiple Answer
Question The external staffing performance indicators include :-
Correct Answer Compensation per Re. Profit , Personnel services head count , Profit
per head
Your Answer Compensation per Re. Profit , Personnel services head count ,
Recovery rate
Match The Following
Question Correct Answer Your Answer
Trust receipt Specifically identified by
serial number or other
means
Specifically identified by
serial number or other
means
Terminal warehouse receipt Inventory is stored with a
public or terminal
Inventory is stored with a
public or terminal
Strategic Finance II Page 5 of 8
warehousing company warehousing company
Floating lien Loose arrangement as the
lender may find it difficult to
police
Well suited for financial
good inventories of capital
goods
Chattel mortgage Well suited for financial
good inventories of capital
goods
Affords a higher degree of
control over the collateral
Select The Blank
Question In today's fast moving world, the quickest way to get information on a
firm is through ________.
Correct Answer Internet
Your Answer Internet
Multiple Choice Single Answer
Question Companies often need to value its own :-
Correct Answer Shares
Your Answer Shares
Multiple Choice Multiple Answer
Question Long term financing strategy is used by a firm to meet :-
Correct Answer Fixed assets requirements , Permanent working capital requirements
, Portion of fluctuating working capital requirement
Your Answer Fixed assets requirements , Permanent working capital requirements
True/False
Question For determining exchange ratio, the model developed by Conn &
Nielson is used.
Correct Answer True
Your Answer True
Select The Blank
Question usually credit lines are established for a period of ________.
Correct Answer 1 year
Your Answer 3 years
Multiple Choice Multiple Answer
Question Shortcomings of accounting numbers consist of the following :-
Strategic Finance II Page 6 of 8
Correct Answer Firms use different kind of accounting methods , Business risk and
financial risk do not have any influence on accounting numbers
Your Answer Dividend policy has lot of influence on accounting numbers ,
Business risk and financial risk do not have any influence on
accounting numbers , There is a serious relationship between
economic value and profit
Select The Blank
Question Investors can reduce the company related risk by diversification of
their investments in ________.
Correct Answer Shares of a large number of companies
Your Answer Mutual funds
True/False
Question Making decision on dividend is a very crucial area of financial
management for a firm.
Correct Answer True
Your Answer True
Multiple Choice Single Answer
Question The following is not a factor for reduction in the life of an asset by
obsolescence :-
Correct Answer No study of market demand for a product / service
Your Answer Legal restrictions
Multiple Choice Multiple Answer
Question Due to diversification employees seek:-
Correct Answer Job security , Better opportunities within the firm , Higher
compensation
Your Answer Job security , Better opportunities within the firm , More perks &
benefits , Higher compensation
Multiple Choice Single Answer
Question Research into true human resources accounting began in :-
Correct Answer 1960`s
Your Answer 1994
Select The Blank
Question Segment assets are ________.
Correct Answer Directly attributable to the segment
Your Answer Directly attributable to the segment
Strategic Finance II Page 7 of 8
True/False
Question AS 13 statement does not deal with operating or finance leases.
Correct Answer True
Your Answer True
Select The Blank
Question The costs should be gathered & allocated within the organisation at
the ________ structural layer.
Correct Answer Lowest possible
Your Answer Lowest possible
Multiple Choice Single Answer
Question Value implies that something has :-
Correct Answer Worth
Your Answer Worth
Multiple Choice Multiple Answer
Question Examples of accounting methods used by firm are :-
Correct Answer FIFO , LIFO , Accrual Accounting
Your Answer FIFO , LIFO , Accrual Accounting
Multiple Choice Multiple Answer
Question The main assumptions for stock repurchase models are as follows :-
Correct Answer The market is efficient , There is perfect competition in the securities
market
Your Answer The market is efficient , Offers are minimum limit offers. , Investors
are not very keen to maximize the value of their investment
Multiple Choice Multiple Answer
Question As a general rule, an asset is :-
Correct Answer A good or a right that a firm owns in a determined moment ,
Prepayment adjustments , Capitalized expenses
Your Answer A good or a right that a firm owns in a determined moment ,
Prepayment adjustments , Capitalized expenses
True/False
Question It is easy to find a risk free security.
Correct Answer False
Strategic Finance II Page 8 of 8
Your Answer False
Multiple Choice Single Answer
Question The earning power of the company approach includes :-
Correct Answer Mainly discounting of all future earnings
Your Answer Mainly discounting of all future earnings
Select The Blank
Question During the costing process, we look at ________.
Correct Answer Resource consumption
Your Answer Resource consumption
Select The Blank
Question Mature companies with stable earnings generally pay out ________.
Correct Answer A high proportion of earnings
Your Answer A high proportion of earnings

Read more »

Posted in: Strategic Finance (Set III)

Production and Operations Management - 17

Searching for JOBS: http://naukrimantra.blogspot.com
Multiple Choice Single Answer
Question
One of the sophisticated operations research techniques used in material planning is
Correct Answer
Dynamic programming
Your Answer
Dynamic programming

True/False
Question
Job life is one of the factors that influence Process Planning
Correct Answer
True
Your Answer
True

Multiple Choice Multiple Answer
Question
Following are some of the Principles of Management advocated by F W Taylor
Correct Answer
Selection of best worker for each particular task , Division of work between worker and management , Training and development of the workmen
Your Answer
Selection of best worker for each particular task , Division of work between worker and management , Training and development of the workmen

Multiple Choice Single Answer
Question
Product layout is employed for manufacturing following products
Correct Answer
refrigirators
Your Answer
ships

Select The Blank
Question
Work study is also called ________ study
Correct Answer
Time and Motion
Your Answer
Job

Multiple Choice Multiple Answer
Question
Which of the following situations demand the technical consideration while selecting a job for method study?
Correct Answer
Jobs having inconsistent quality , Operations inviting frequent requests from supervisors for relaxation in allowed time because of variations in materials and tool performance , Jobs in which too many man-hours are spend in checking and rechecking work
Your Answer
Jobs having inconsistent quality , Operations inviting frequent requests from supervisors for relaxation in allowed time because of variations in materials and tool performance , Jobs in which too many man-hours are spend in checking and rechecking work

True/False
Question
Quality control determines what, when, and how much to inspect while inspection actually conducts examination of goods.
Correct Answer
True
Your Answer
True

Select The Blank
Question
The ________ is the maximum percentage defective that for the purpose of sampling inspection can be considered satisfactory as a process average.
Correct Answer
Acceptable quality level
Your Answer
Producer's risk

Select The Blank
Question
The term ________ emplies the foregone profit due to inability of company to produce.
Correct Answer
Opportunity cost
Your Answer
Opportunity cost

True/False
Question
All activities must not be tied up into the network
Correct Answer
False
Your Answer
False

True/False
Question
F W Taylor devised a system for classifying motions into basic divisions called Therbligs
Correct Answer
False
Your Answer
True

Multiple Choice Multiple Answer
Question
Which of the following may be the objectives of project crashing?
Correct Answer
To achieve uniformity in requirement of resources , To complete the project in the least possible time , To reduce project cost below it's normal cost
Your Answer
To complete the project in the least possible time , To achieve uniformity in requirement of resources , To improve the labour efficiency

Multiple Choice Multiple Answer
Question
What is indicated by the hugging points lying close to mean of the process in X bar-R- control chart?
Correct Answer
Biases in measurements , Recording done without actual measurements , Improper selection of samples
Your Answer
Recording done without actual measurements , Improper selection of samples

Multiple Choice Single Answer
Question
Following is one of the techniques used for Material Planning for high value material
Correct Answer
MRP
Your Answer
MRP

Select The Blank
Question
The ________ is the probability that a good lot will be rejected by the sampling plan.
Correct Answer
Producer's risk
Your Answer
Producer's risk

Multiple Choice Single Answer
Question
One of the characterstic of layout is about the flow of material / personnel. In a good layout the flow should be
Correct Answer
Unidirectional
Your Answer
Unidirectional

True/False
Question
The event numbers as far as possible reflect the logical relationships of the activities.
Correct Answer
True
Your Answer
False

Multiple Choice Multiple Answer
Question
Material Requirement Planning is very useful in following situations
Correct Answer
Long Lead time for procurement , Several levels of assemblies in product , Long manufacturing cycle
Your Answer
Long Lead time for procurement , Several levels of assemblies in product , Long manufacturing cycle

True/False
Question
Cent percent inspection is often more practical and economical than sampling inspection.
Correct Answer
False
Your Answer
False

Select The Blank
Question
The ________ must ensure that the product satisfy the functional requirements of it's usage.
Correct Answer
Quality of design
Your Answer
Quality of conformance

True/False
Question
Both, preventive and breakdown maintenance work must be assigned to the same team.
Correct Answer
False
Your Answer
False

Multiple Choice Single Answer
Question
Following is one of the tasks of Production Control
Correct Answer
Actual issue of forms and documents
Your Answer
Actual issue of forms and documents

Multiple Choice Single Answer
Question
Process Engineer does not get sufficient time for designing tooling for most economic production run when
Correct Answer
Delivery time is less
Your Answer
Delivery time is less

Multiple Choice Multiple Answer
Question
Components of Production Management include
Correct Answer
Capacity Planning , Job Design , Production Planning
Your Answer
Capacity Planning , Production Planning , Manpower Planning

Multiple Choice Multiple Answer
Question
Which of the following products should be produced by using mass production?
Correct Answer
Refrigerator , Tyre for automobile , Television Set
Your Answer
Refrigerator , Tyre for automobile , Television Set

Multiple Choice Single Answer
Question
The process of changing inputs into outputs thereby adding some value to entity can be defined as
Correct Answer
Operation
Your Answer
Manufacturing

Select The Blank
Question
A good maintenance system is not a luxary but a ________.
Correct Answer
Necessity
Your Answer
Necessity

Multiple Choice Single Answer
Question
What is the specific name for the Gantt chart when it shows at a glance the scheduling of various operations involved in a job?
Correct Answer
Job Schedule
Your Answer
Load Chart

Select The Blank
Question
A set of activities to keep an equipment in the specified condition is called as ________.
Correct Answer
Maintenance
Your Answer
Maintenance

Multiple Choice Single Answer
Question
What do you mean by lowest possible direct cost required to complete an activity within it's crashed time?
Correct Answer
Crash cost
Your Answer
Crash cost

Multiple Choice Multiple Answer
Question
Which of the following factors decide the choice between the cent percent and sampling inspection?
Correct Answer
Nature of inspection , Natural tolerance versus design tolerance , Vendor's quality rating
Your Answer
Nature of inspection , Natural tolerance versus design tolerance , Vendor's quality rating

Select The Blank
Question
The ________ is the maintenance work initiated on a result of knowledge of the condition of an item from routine or continuous checking.
Correct Answer
Condition monitoring
Your Answer
Condition monitoring

Multiple Choice Multiple Answer
Question
Which of the following are examples of attributes?
Correct Answer
Cracks , Burrs , Texture
Your Answer
Cracks , Burrs , Texture

Multiple Choice Single Answer
Question
Which of the following is the criteria for the percentage defectives in the zone of the indecision?
Correct Answer
Lots having the percentage defective more than AQL but less than LPTD
Your Answer
Lots having the percentage defective more than AQL but less than LPTD

Multiple Choice Single Answer
Question
In mass/batch production organizations where goods are produced for stocking, Work Order is raised on the basis of
Correct Answer
Sales Programme
Your Answer
Sales Order

Match The Following
Question
Correct Answer
Your Answer
Fixed Position Layout
Project Layout
Functional Layout
Product Layout
Line Layout
Project Layout
Process Layout
Functional Layout
job layout
Combined Layout
Mixed Layout
Mixed Layout

Multiple Choice Single Answer
Question
What do you understand by the measurement of work to establish allowed time for a job for the defined method?
Correct Answer
Work measurement
Your Answer
Work measurement

Select The Blank
Question
In case of an OC curve, the risk of rejecting a good quality lot may vary between ________.
Correct Answer
0.01 to 10%
Your Answer
0.01 to 10%

True/False
Question
Objective of Work Study is to improve Productivity
Correct Answer
True
Your Answer
False

Multiple Choice Multiple Answer
Question
Which are the distinct functions of scientific quality control?
Correct Answer
Acceptance function , Preventive function , Assurance function
Your Answer
Acceptance function , Feedback function , Preventive function

Match The Following
Question
Correct Answer
Your Answer
Interruption for machine utilisation
Preventive maintenance
Preventive maintenance
Input for scheduling
Overlapping of operations
Strings
Technique of scheduling
Critical Path Analysis
Critical Path Analysis
Scheduling Device
Strings
Blackboard

Select The Blank
Question
An Ideal OC curve is ________ shaped curve that accpets all the lots with quality equal to or better than AQL .
Correct Answer
Rectangular
Your Answer
Rectangular

True/False
Question
Breakdown of machines, absenteeism of worker does not dislocate the manufacturing activity in process layout
Correct Answer
True
Your Answer
True

True/False
Question
Since value of c can never be negativee, hence" if LCLp works out to be negative, it is taken as zero."
Correct Answer
True
Your Answer
True

Multiple Choice Single Answer
Question
Who prepares the daily production report?
Correct Answer
Shop Supervisor
Your Answer
Worker

True/False
Question
The dispatching function is of very importance in flow and mass production units.
Correct Answer
False
Your Answer
True

Multiple Choice Multiple Answer
Question
Which are major benefits of identifying the critical path?
Correct Answer
It helps to identify the set of activities and events which are critical and as such must be carefully controlled and monitored , It identifies activities to be given preference in allocation of resources. , It helps to exercise "control by exception".
Your Answer
It helps to identify the set of activities and events which are critical and as such must be carefully controlled and monitored , It helps to exercise "control by exception".

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Posted in: Production and Operations Management(Set-VI)