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1. What is the primary objective of logistics management?
A. Increase production output
B. Optimize flow of goods and services
C. Maximize warehouse space
D. Reduce labor costs
Correct Answer: B
Rationale: Logistics ensures efficient movement and storage of goods from
origin to consumption.
2. Which function is responsible for moving goods from suppliers to customers?
A. Marketing
B. Transportation
C. Accounting
D. Procurement
Correct Answer: B
Rationale: Transportation enables physical movement in the supply chain.
,3. What does inventory management primarily focus on?
A. Increasing sales
B. Controlling stock levels efficiently
C. Expanding warehouses
D. Reducing demand
Correct Answer: B
4. What is lead time?
A. Time to manufacture only
B. Time from order to delivery
C. Time in warehouse
D. Shipping cost
Correct Answer: B
5. What is a warehouse primarily used for?
A. Manufacturing goods
B. Storing and managing inventory
C. Selling products
,D. Marketing goods
Correct Answer: B
6. What is the main purpose of supply chain management?
A. Reduce suppliers
B. Coordinate flow of goods, information, and finances
C. Increase production cost
D. Limit distribution
Correct Answer: B
7. What is Just-In-Time (JIT)?
A. Overstock strategy
B. Inventory delivered when needed
C. Bulk purchasing
D. Delayed shipping
Correct Answer: B
8. What is EOQ used for?
, A. Reduce demand
B. Determine optimal order quantity
C. Increase transport cost
D. Maximize storage
Correct Answer: B
9. What is safety stock?
A. Excess waste inventory
B. Buffer stock for uncertainty
C. Dead stock
D. Shipping inventory
Correct Answer: B
10. What is cross-docking?
A. Long-term storage
B. Direct transfer between inbound and outbound transport
C. Manufacturing process
D. Inventory counting
Correct Answer: B