Question 1

Which of the following is one of the main purposes of a MRP system?

Accepted Answer

A)  Educate personnel in basic work rules 
B)  To determine the amount of materials needed to produce each end item. 
C)  Stimulate the work force 
D)  Decrease labor requirements 
E)  Increase inventory accuracy 
A)  Educate personnel in basic work rules 
B)  To determine the amount of materials needed to produce each end item. 
C)  Stimulate the work force 
D)  Decrease labor requirements 
E)  Increase inventory accuracy

Question 2

We would expect to see which of the following in an MRP system's inventory status file?

Accepted Answer

A)  End items produced 
B)  Late/early delivery records 
C)  Scrap losses 
D)  Labor efficiency 
E)  Computer errors 
A)  End items produced 
B)  Late/early delivery records 
C)  Scrap losses 
D)  Labor efficiency 
E)  Computer errors

Question 3

From the list below select the one item that the master scheduler does not do to ensure good master scheduling.

Accepted Answer

A)  Include all demands from product sales, warehouse replenishment, spares, and interplant requirements. 
B)  Be involved with customer order promising. 
C)  Be visible to all levels of management. 
D)  Trade off conflicts to make it likely that manufacturing will meet its goals. 
E)  Identify and communicate all problems. 
A)  Include all demands from product sales, warehouse replenishment, spares, and interplant requirements. 
B)  Be involved with customer order promising. 
C)  Be visible to all levels of management. 
D)  Trade off conflicts to make it likely that manufacturing will meet its goals. 
E)  Identify and communicate all problems.

Question 4

In a net change MRP system, requirements and schedules are updated whenever a transaction is processed that has an impact on the item.

Accepted Answer

A) True 
 B)False

Question 5

Which of the following is a dynamic lot-sizing technique that adds ordering and inventory carrying cost for each trial lot size and divides by the number of units in each lot size, picking the lot size with the lowest unit cost?

Accepted Answer

A)  Economic order quantity 
B)  Lot-for-lot 
C)  Least total cost 
D)  Least unit cost 
E)  Inventory item averaging 
A)  Economic order quantity 
B)  Lot-for-lot 
C)  Least total cost 
D)  Least unit cost 
E)  Inventory item averaging

Question 6

Which of the following is a dynamic lot-sizing technique that calculates the order quantity by comparing the carrying cost and the setup (or ordering) costs for various lot sizes and then selects the lot in which these are most nearly equal?

Accepted Answer

A)  Economic order quantity 
B)  Lot-for-lot 
C)  Least total cost 
D)  Least unit cost 
E)  ABC analysis 
A)  Economic order quantity 
B)  Lot-for-lot 
C)  Least total cost 
D)  Least unit cost 
E)  ABC analysis

Question 7

If annual demand is 12,000 units, annual holding cost is $15 per unit, and setup cost per order is $25, which of the following is the EOQ lot size?

Accepted Answer

A)  2,000 
B)  1,200 
C)  1,000 
D)  300 
E)  200 
A)  2,000 
B)  1,200 
C)  1,000 
D)  300 
E)  200

Question 8

Generally, determining lot sizes in MRP systems is simple.

Accepted Answer

A) True 
 B)False

Question 9

The least unit cost method of lot-sizing adds ordering, stock-out, and inventory carrying cost for each trial lot size and divides by the number of units in each lot size, picking the lot size with the lowest unit cost.

Accepted Answer

A) True 
 B)False

Question 10

MRP is least valuable in industries where a number of products are made in batches using the same productive equipment.

Accepted Answer

A) True 
 B)False

Question 11

Net change MRP reflects the exact status of each item managed by the system in "real time."

Accepted Answer

A) True 
 B)False

Question 12

The deeper one looks into the product creation sequence, the more the requirements of dependent demand items tend to become more "lumpy."

Accepted Answer

A) True 
 B)False

Question 13

The economic order quantity (EOQ) lot sizing technique uses the "square root formula" to balance setup cost, carrying cost and cost of stock-outs.

Accepted Answer

A) True 
 B)False

Question 14

Which of the following is an input file necessary to run an MRP system?

Accepted Answer

A)  Exception report 
B)  Computer-aided-design files 
C)  Inventory records file 
D)  Personnel files 
E)  Planned order schedule 
A)  Exception report 
B)  Computer-aided-design files 
C)  Inventory records file 
D)  Personnel files 
E)  Planned order schedule

Question 15

Freezing the master schedule is:

Accepted Answer

A)  not truly feasible because down the road it will become slushy again. 
B)  a commitment to precisely follow the master schedule in the future. 
C)  done to avoid the chaos of expediting and resultant overdue orders. 
D)  preserves the master schedule until it is ready to be used. 
E)  rarely attempted by manufacturing firms. 
A)  not truly feasible because down the road it will become slushy again. 
B)  a commitment to precisely follow the master schedule in the future. 
C)  done to avoid the chaos of expediting and resultant overdue orders. 
D)  preserves the master schedule until it is ready to be used. 
E)  rarely attempted by manufacturing firms.

Question 16

Which of the following is not a production activity report generated by MRP?

Accepted Answer

A)  Exception report 
B)  Planning report 
C)  Performance control report 
D)  Planned-order schedules 
E)  Bill of materials report 
A)  Exception report 
B)  Planning report 
C)  Performance control report 
D)  Planned-order schedules 
E)  Bill of materials report

Question 17

MRP is most valuable where a number of products are made in batches using the same productive equipment.

Accepted Answer

A) True 
 B)False

Question 18

Which of the following is an input to the master production schedule?

Accepted Answer

A)  Bill of materials (BOM) file 
B)  Inventory records file 
C)  Exception reports 
D)  Planned-order schedules 
E)  None of these 
A)  Bill of materials (BOM) file 
B)  Inventory records file 
C)  Exception reports 
D)  Planned-order schedules 
E)  None of these

Question 19

Which of the following is considered a primary report in an MRP system?

Accepted Answer

A)  Planned order schedule 
B)  Peg report 
C)  Planning report 
D)  Inventory accuracy report 
E)  Aggregate production plan report 
A)  Planned order schedule 
B)  Peg report 
C)  Planning report 
D)  Inventory accuracy report 
E)  Aggregate production plan report

Question 20

Which of the following is an input to the master production schedule (MPS)?

Accepted Answer

A)  Inventory records file 
B)  The aggregate plan 
C)  The bill of materials 
D)  The exception report 
E)  Planned order schedules 
A)  Inventory records file 
B)  The aggregate plan 
C)  The bill of materials 
D)  The exception report 
E)  Planned order schedules

Which of the following is one of the main purposes of a MRP system?

We would expect to see which of the following in an MRP system's inventory status file?

From the list below select the one item that the master scheduler does not do to ensure good master scheduling.

In a net change MRP system, requirements and schedules are updated whenever a transaction is processed that has an impact on the item.

Which of the following is a dynamic lot-sizing technique that adds ordering and inventory carrying cost for each trial lot size and divides by the number of units in each lot size, picking the lot size with the lowest unit cost?

Which of the following is a dynamic lot-sizing technique that calculates the order quantity by comparing the carrying cost and the setup (or ordering) costs for various lot sizes and then selects the lot in which these are most nearly equal?

If annual demand is 12,000 units, annual holding cost is $15 per unit, and setup cost per order is $25, which of the following is the EOQ lot size?

Generally, determining lot sizes in MRP systems is simple.

The least unit cost method of lot-sizing adds ordering, stock-out, and inventory carrying cost for each trial lot size and divides by the number of units in each lot size, picking the lot size with the lowest unit cost.

MRP is least valuable in industries where a number of products are made in batches using the same productive equipment.

Net change MRP reflects the exact status of each item managed by the system in "real time."

The deeper one looks into the product creation sequence, the more the requirements of dependent demand items tend to become more "lumpy."

The economic order quantity (EOQ) lot sizing technique uses the "square root formula" to balance setup cost, carrying cost and cost of stock-outs.

Which of the following is an input file necessary to run an MRP system?

Freezing the master schedule is:

Which of the following is not a production activity report generated by MRP?

MRP is most valuable where a number of products are made in batches using the same productive equipment.

Which of the following is an input to the master production schedule?

Which of the following is considered a primary report in an MRP system?

Which of the following is an input to the master production schedule (MPS)?

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Exam 9: Material Requirements Planning

Which of the following is one of the main purposes of a MRP system?

We would expect to see which of the following in an MRP system's inventory status file?

From the list below select the one item that the master scheduler does not do to ensure good master scheduling.

In a net change MRP system, requirements and schedules are updated whenever a transaction is processed that has an impact on the item.

Which of the following is a dynamic lot-sizing technique that adds ordering and inventory carrying cost for each trial lot size and divides by the number of units in each lot size, picking the lot size with the lowest unit cost?

Which of the following is a dynamic lot-sizing technique that calculates the order quantity by comparing the carrying cost and the setup (or ordering) costs for various lot sizes and then selects the lot in which these are most nearly equal?

If annual demand is 12,000 units, annual holding cost is $15 per unit, and setup cost per order is $25, which of the following is the EOQ lot size?

Generally, determining lot sizes in MRP systems is simple.

The least unit cost method of lot-sizing adds ordering, stock-out, and inventory carrying cost for each trial lot size and divides by the number of units in each lot size, picking the lot size with the lowest unit cost.

MRP is least valuable in industries where a number of products are made in batches using the same productive equipment.

Net change MRP reflects the exact status of each item managed by the system in "real time."

The deeper one looks into the product creation sequence, the more the requirements of dependent demand items tend to become more "lumpy."

The economic order quantity (EOQ) lot sizing technique uses the "square root formula" to balance setup cost, carrying cost and cost of stock-outs.

Which of the following is an input file necessary to run an MRP system?

Freezing the master schedule is:

Which of the following is not a production activity report generated by MRP?

MRP is most valuable where a number of products are made in batches using the same productive equipment.

Which of the following is an input to the master production schedule?

Which of the following is considered a primary report in an MRP system?

Which of the following is an input to the master production schedule (MPS)?

Operations and Supply Chain Management

Strategy and Sustainability

Forecasting

Strategic Capacity Management

Projects

Manufacturing Processes

Service Processes

Sales and Operations Planning

Quality Management and Six Sigma

Inventory Management

Lean Supply Chains

Global Sourcing and Procurement

Location, Logistics, and Distribution

Filters