BUS 370- TEST 3 QUESTIONS WITH VERIFIED
ACCURATE ANSWERS
"Any idle resource held for future use dash- those stocks or items used to support
production (raw materials), supporting activities (drill bits) and customer service
(finished goods, spare parts)" is the definition of - Answers - Inventory
The type of demand which comes from outside the organization, is unpredictable, and
usually forecasted is - Answers - Independent
The type of demand which is tied to the production of another item (table legs are an
example) is - Answers - dependent
A company which produces electricity, like Progress Energy, is considering buying extra
coal to hold in inventory. They want to buffer against a potential strike at a major coal
producer which would likely result in a significant price increase.
This type of inventory is - Answers - hedging
Scholastic, the book publisher, has their suppliers, book printers, manufacture millions
of Harry Potter books ahead of time so customers can have instant availability on the
launch date. This type of inventory is - Answers - anticipation
A company which sources raw materials and components from overseas will hold extra
inventory of these items due to a mismatch between the timing of customer demand
and supply chain lead times.
This type of inventory is - Answers - transportation
A computer manufacturer receives 20,000 computer mice in bulk from an upstream
supplier, gradually uses them up over time, then receives another bulk shipment of
20,000 computer mice.
This type of inventory is - Answers - cycle stock
The owner of a vending machine company has weekly stops to check the soda machine
at NC State. She checks the inventory levels and fills the machine back up to its full
restocking level.
She is using which of the following types of independent demand inventory systems? -
Answers - periodic review system
Mr. Drucker uses a periodic review system to manage the inventory in his dry goods
store. He likes to maintain 15 sacks of sugar on his shelves based on the annual
demand figure of 225 sacks. It costs $2 to place an order for sugar and costs $1 to hold
a sack in inventory for a year. Mr. Drucker checks inventory one day and notes that he
is down to 9 sacks; how much should he order? - Answers - 6 sacks
ACCURATE ANSWERS
"Any idle resource held for future use dash- those stocks or items used to support
production (raw materials), supporting activities (drill bits) and customer service
(finished goods, spare parts)" is the definition of - Answers - Inventory
The type of demand which comes from outside the organization, is unpredictable, and
usually forecasted is - Answers - Independent
The type of demand which is tied to the production of another item (table legs are an
example) is - Answers - dependent
A company which produces electricity, like Progress Energy, is considering buying extra
coal to hold in inventory. They want to buffer against a potential strike at a major coal
producer which would likely result in a significant price increase.
This type of inventory is - Answers - hedging
Scholastic, the book publisher, has their suppliers, book printers, manufacture millions
of Harry Potter books ahead of time so customers can have instant availability on the
launch date. This type of inventory is - Answers - anticipation
A company which sources raw materials and components from overseas will hold extra
inventory of these items due to a mismatch between the timing of customer demand
and supply chain lead times.
This type of inventory is - Answers - transportation
A computer manufacturer receives 20,000 computer mice in bulk from an upstream
supplier, gradually uses them up over time, then receives another bulk shipment of
20,000 computer mice.
This type of inventory is - Answers - cycle stock
The owner of a vending machine company has weekly stops to check the soda machine
at NC State. She checks the inventory levels and fills the machine back up to its full
restocking level.
She is using which of the following types of independent demand inventory systems? -
Answers - periodic review system
Mr. Drucker uses a periodic review system to manage the inventory in his dry goods
store. He likes to maintain 15 sacks of sugar on his shelves based on the annual
demand figure of 225 sacks. It costs $2 to place an order for sugar and costs $1 to hold
a sack in inventory for a year. Mr. Drucker checks inventory one day and notes that he
is down to 9 sacks; how much should he order? - Answers - 6 sacks
