1|Page
Epicor Kinetic Inventory Management Exam | Latest
Verified Questions and Detailed Answers
OVERVIEW DESCRIPTION:
This comprehensive set of multiple-choice questions is designed for the Epicor Kinetic
Inventory Management Exam. The questions cover the full spectrum of inventory control, from
foundational configuration such as warehouse maintenance, part classes, and unit of measure
setups to advanced operational processes like lot and serial tracking, cycle counting, and
Material Requirements Planning (MRP). Each question is presented with a detailed expert
rationale to explain not only the correct answer but also the underlying system logic and real-
world application, emphasizing the practical, hands-on knowledge required to effectively
manage inventory within the Epicor Kinetic ERP environment.
QUESTION 1
Which of the following actions is required to enable bin tracking for a specific
warehouse in Epicor Kinetic?
A) Set the "Use Bin Tracking" flag in Part Maintenance for each part in the warehouse.
B) Enable the "Bin Control" option in Warehouse Maintenance and assign bins in Bin
Maintenance.
C) Activate "Bin Management" within the Company Configuration settings.
D) Configure "Location Tracking" under Inventory Management module settings.
CORRECT ANSWER: B
EXPERT RATIONALE: Bin tracking is enabled at the warehouse level by setting the "Bin
Control" flag in Warehouse Maintenance; bins are then defined in Bin Maintenance and
assigned to parts or locations.
QUESTION 2
When setting up a new Unit of Measure (UOM) Class for a part that will be sold in
"Each" but ordered in "Boxes" of 25, what is the critical configuration step?
,2|Page
A) Assigning the "Each" as the base UOM and defining "Box" with a conversion factor of
25.
B) Creating two separate part numbers for "Each" and "Box" to avoid transaction errors.
C) Setting the "Box" as the primary UOM and enabling fractional quantity for sales.
D) Defining the "Box" UOM within the Purchasing module only, separate from Inventory.
CORRECT ANSWER: A
EXPERT RATIONALE: In Epicor Kinetic, a UOM Class defines relationships between units;
the base UOM is the smallest unit, and other UOMs are defined with a conversion factor
to the base.
QUESTION 3
What is the primary purpose of assigning ABC codes to inventory parts?
A) To determine the sales tax rate applicable to the part.
B) To define the default bin location for the part during receiving.
C) To classify items based on their value and consumption for cycle counting and
management focus.
D) To set the part's valuation method (FIFO, LIFO, or Average Cost).
CORRECT ANSWER: C
EXPERT RATIONALE: ABC analysis categorizes inventory based on annual consumption
value, allowing for differentiated cycle counting frequencies and management attention.
QUESTION 4
A user needs to record that 10 units of a part were damaged during the receiving
process. Which transaction should be used to accurately reflect this in inventory?
A) Part Issue
B) Inventory Adjustment with a valid reason code
,3|Page
C) Sales Order Shipment
D) Job Receipt
CORRECT ANSWER: B
EXPERT RATIONALE: An Inventory Adjustment is used to correct on-hand quantities due
to loss, damage, or variance, and a reason code provides the audit trail for the change.
QUESTION 5
For a part flagged as "Lot Control," what additional data point is required during the
receiving process?
A) Serial number range
B) Lot number and associated expiration or manufacturing date
C) Bin number override confirmation
D) Supplier quality certification number
CORRECT ANSWER: B
EXPERT RATIONALE: Lot-controlled parts require a lot number to be assigned at receipt,
which is used to trace the part through its lifecycle and manage expiration or lot
attributes.
QUESTION 6
In Epicor Kinetic, what is the function of the "Lot Locator" feature?
A) To identify which warehouse a specific lot is stored in.
B) To search for and display all locations (bins) where a specific lot number resides.
C) To automatically assign lot numbers to non-lot controlled items.
D) To generate a report of lot numbers scheduled to expire.
CORRECT ANSWER: B
EXPERT RATIONALE: The Lot Locator function is an inquiry tool that allows users to
, 4|Page
quickly view the current bin locations and quantities for a specific lot number across the
system.
QUESTION 7
A company is performing a physical inventory count and discovers a variance. Where is
the reason for this variance typically recorded to maintain audit trail integrity?
A) In the Part Maintenance notes section.
B) In the Transaction Entry screen as a comment.
C) By selecting a predefined reason code during the count entry or adjustment.
D) In the General Ledger journal entry description.
CORRECT ANSWER: C
EXPERT RATIONALE: Reason codes are used to categorize inventory adjustments and
count variances, providing a standardized and auditable explanation for the change.
QUESTION 8
What is the primary objective of cycle counting compared to a full physical inventory?
A) To count all inventory items once a year for tax purposes.
B) To count a subset of inventory on a continuous schedule to improve accuracy without
disrupting operations.
C) To exclusively count high-value (A-class) items on a daily basis.
D) To verify the accuracy of the last physical inventory count.
CORRECT ANSWER: B
EXPERT RATIONALE: Cycle counting is a perpetual inventory auditing procedure where a
small portion of inventory is counted on a rotating schedule, minimizing operational
disruption while maintaining high accuracy.
Epicor Kinetic Inventory Management Exam | Latest
Verified Questions and Detailed Answers
OVERVIEW DESCRIPTION:
This comprehensive set of multiple-choice questions is designed for the Epicor Kinetic
Inventory Management Exam. The questions cover the full spectrum of inventory control, from
foundational configuration such as warehouse maintenance, part classes, and unit of measure
setups to advanced operational processes like lot and serial tracking, cycle counting, and
Material Requirements Planning (MRP). Each question is presented with a detailed expert
rationale to explain not only the correct answer but also the underlying system logic and real-
world application, emphasizing the practical, hands-on knowledge required to effectively
manage inventory within the Epicor Kinetic ERP environment.
QUESTION 1
Which of the following actions is required to enable bin tracking for a specific
warehouse in Epicor Kinetic?
A) Set the "Use Bin Tracking" flag in Part Maintenance for each part in the warehouse.
B) Enable the "Bin Control" option in Warehouse Maintenance and assign bins in Bin
Maintenance.
C) Activate "Bin Management" within the Company Configuration settings.
D) Configure "Location Tracking" under Inventory Management module settings.
CORRECT ANSWER: B
EXPERT RATIONALE: Bin tracking is enabled at the warehouse level by setting the "Bin
Control" flag in Warehouse Maintenance; bins are then defined in Bin Maintenance and
assigned to parts or locations.
QUESTION 2
When setting up a new Unit of Measure (UOM) Class for a part that will be sold in
"Each" but ordered in "Boxes" of 25, what is the critical configuration step?
,2|Page
A) Assigning the "Each" as the base UOM and defining "Box" with a conversion factor of
25.
B) Creating two separate part numbers for "Each" and "Box" to avoid transaction errors.
C) Setting the "Box" as the primary UOM and enabling fractional quantity for sales.
D) Defining the "Box" UOM within the Purchasing module only, separate from Inventory.
CORRECT ANSWER: A
EXPERT RATIONALE: In Epicor Kinetic, a UOM Class defines relationships between units;
the base UOM is the smallest unit, and other UOMs are defined with a conversion factor
to the base.
QUESTION 3
What is the primary purpose of assigning ABC codes to inventory parts?
A) To determine the sales tax rate applicable to the part.
B) To define the default bin location for the part during receiving.
C) To classify items based on their value and consumption for cycle counting and
management focus.
D) To set the part's valuation method (FIFO, LIFO, or Average Cost).
CORRECT ANSWER: C
EXPERT RATIONALE: ABC analysis categorizes inventory based on annual consumption
value, allowing for differentiated cycle counting frequencies and management attention.
QUESTION 4
A user needs to record that 10 units of a part were damaged during the receiving
process. Which transaction should be used to accurately reflect this in inventory?
A) Part Issue
B) Inventory Adjustment with a valid reason code
,3|Page
C) Sales Order Shipment
D) Job Receipt
CORRECT ANSWER: B
EXPERT RATIONALE: An Inventory Adjustment is used to correct on-hand quantities due
to loss, damage, or variance, and a reason code provides the audit trail for the change.
QUESTION 5
For a part flagged as "Lot Control," what additional data point is required during the
receiving process?
A) Serial number range
B) Lot number and associated expiration or manufacturing date
C) Bin number override confirmation
D) Supplier quality certification number
CORRECT ANSWER: B
EXPERT RATIONALE: Lot-controlled parts require a lot number to be assigned at receipt,
which is used to trace the part through its lifecycle and manage expiration or lot
attributes.
QUESTION 6
In Epicor Kinetic, what is the function of the "Lot Locator" feature?
A) To identify which warehouse a specific lot is stored in.
B) To search for and display all locations (bins) where a specific lot number resides.
C) To automatically assign lot numbers to non-lot controlled items.
D) To generate a report of lot numbers scheduled to expire.
CORRECT ANSWER: B
EXPERT RATIONALE: The Lot Locator function is an inquiry tool that allows users to
, 4|Page
quickly view the current bin locations and quantities for a specific lot number across the
system.
QUESTION 7
A company is performing a physical inventory count and discovers a variance. Where is
the reason for this variance typically recorded to maintain audit trail integrity?
A) In the Part Maintenance notes section.
B) In the Transaction Entry screen as a comment.
C) By selecting a predefined reason code during the count entry or adjustment.
D) In the General Ledger journal entry description.
CORRECT ANSWER: C
EXPERT RATIONALE: Reason codes are used to categorize inventory adjustments and
count variances, providing a standardized and auditable explanation for the change.
QUESTION 8
What is the primary objective of cycle counting compared to a full physical inventory?
A) To count all inventory items once a year for tax purposes.
B) To count a subset of inventory on a continuous schedule to improve accuracy without
disrupting operations.
C) To exclusively count high-value (A-class) items on a daily basis.
D) To verify the accuracy of the last physical inventory count.
CORRECT ANSWER: B
EXPERT RATIONALE: Cycle counting is a perpetual inventory auditing procedure where a
small portion of inventory is counted on a rotating schedule, minimizing operational
disruption while maintaining high accuracy.
