Exam 15: Logistics Distribution, and Transportation

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One of the objectives of facility location analysis is to select a site with the lowest total cost.Which of the following costs should be excluded from the analysis?

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The Association for Operations Management defines logistics as "the art and science of obtaining, producing, and distributing material and product in the proper place and in proper quantities."

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A free trade zone is typically a closed facility into which foreign goods can be brought without being subject to the usual customs requirements.

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DHL and United Parcel Service are transportation companies that are prohibited from functioning as third-party logistics companies the way Federal Express does.

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In facility location decision making, the factor-rating system is one of the least used general location techniques.

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Which of the following is a plant location methodology good for locating a single facility within a set of existing facilities based in distances and volumes of goods shipped?

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A favorable business climate in facility location decision making might include government legislation of tax abatements.

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One of the objectives of facility location analysis is to select a site with the lowest total cost.Which of the following are hidden costs that should be included in the analysis?

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In the logistics-systems design matrix, volume, cost and speed of delivery are three variables (assume three levels: low, moderate or high) used to describe attributes of transportation modes.Rail is associated with

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In facility location decision making, the factor-rating system is based on linear programming.

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Plant A is located at the (X, Y) coordinates of (100, 200) and has a volume of shipping of 500 units a day.Plant B is located at the (X, Y) coordinates of (150, 400) and has a volume of shipping of 200 units a day.Using the centroid method, which of the following is the X coordinate for the new plant location?

(Multiple Choice)
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Suppose that using the centroid method you found the best location for a communications tower.The location happens to be in the middle of a pond.Then, you should locate the tower

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A third-party logistics company is a firm that manages all or part of another company's product delivery operations.

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Which of the following is not an infrastructure criteria used in facility location analysis?

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An example of a positive business climate that might influence a facility location decision is increasing governmental costs and increasing property taxes.

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