Question 1

A visual depiction of the subassemblies and components that are needed to produce and/or assemble a product is called a(n):

Accepted Answer

A)  assembly time chart. 
B)  product structure tree. 
C)  MRP II. 
D)  pegging. 
E)  Gantt chart. 
A)  assembly time chart. 
B)  product structure tree. 
C)  MRP II. 
D)  pegging. 
E)  Gantt chart.

Question 2

MRP works best if the inventory items have dependent demand.

Accepted Answer

A) True 
 B)False

Question 3

MRP, considering inventory position, bills of material, open purchase orders, and lead times guarantees a feasible production plan if the inputs to MRP are accurate.

Accepted Answer

A) True 
 B)False

Question 4

Which of the following is not usually necessary in order to have an effective MRP system?

Accepted Answer

A)  a computer and software 
B)  an accurate bill of materials 
C)  lot-for-lot ordering 
D)  an up-to-date master schedule 
E)  integrity of file data 
A)  a computer and software 
B)  an accurate bill of materials 
C)  lot-for-lot ordering 
D)  an up-to-date master schedule 
E)  integrity of file data

Question 5

Comparing known and expected capacity requirements with projected capacity availability is the job of:

Accepted Answer

A)  planned releases. 
B)  load reports. 
C)  lot sizing. 
D)  work loading. 
E)  time fencing. 
A)  planned releases. 
B)  load reports. 
C)  lot sizing. 
D)  work loading. 
E)  time fencing.

Question 6

Capacity requirements planning helps managers reconcile __________ with __________.

Accepted Answer

A)  what is needed; what has been done 
B)  what is needed; what is possible 
C)  what has been done; who will be doing it 
D)  what needs to be done; where it will be done 
E)  what has been done; how much what needs to be done will cost 
A)  what is needed; what has been done 
B)  what is needed; what is possible 
C)  what has been done; who will be doing it 
D)  what needs to be done; where it will be done 
E)  what has been done; how much what needs to be done will cost

Question 7

Lot-for-lot ordering in MRP eliminates the holding costs for parts that are carried over to other periods.

Accepted Answer

A) True 
 B)False

Question 8

The identification of parent items is called:

Accepted Answer

A)  paternity. 
B)  pegging. 
C)  requirement I.D. 
D)  relationship tracking. 
E)  master scheduling. 
A)  paternity. 
B)  pegging. 
C)  requirement I.D. 
D)  relationship tracking. 
E)  master scheduling.

Question 9

Which of the following lot sizing methods does not attempt to balance ordering (or setup) and holding costs?

Accepted Answer

A)  economic order quantity 
B)  economic run size 
C)  lot-for-lot 
D)  part-period 
E)  all of these 
A)  economic order quantity 
B)  economic run size 
C)  lot-for-lot 
D)  part-period 
E)  all of these

Question 10

Low-level coding represents items less than $18 per unit.

Accepted Answer

A) True 
 B)False

Question 11

The following is a list of components required to produce one unit of end item P:
P: 2 As, 3 Bs, 3 Cs
A: 5 Ms, 2 Rs
B: 1 D, 3 Ns
C: 1 T, 4 Ns
M: 1 N
Determine the number of Ns that will be needed to make 60 Ps in each of these cases:
(A) There are currently 10 Ps on hand.
(B) On-hand inventory consists of 15 Ps, 10 As, 20 Bs, 10 Cs, 100 Ns, 300 Ts, and 200 Ms.
The product structure tree is:

Accepted Answer

(A) [1 N per M × 5 Ms per A × 2 As per

Question 12

One of the primary output reports of MRP concerns changes to planned orders.

Accepted Answer

A) True 
 B)False

Question 13

Which of the following represents an attempt to balance the benefits of stability against the benefits of responding to new information?

Accepted Answer

A)  safety stock 
B)  safety time 
C)  bills of material 
D)  time fences 
E)  fixed-period lot sizing 
A)  safety stock 
B)  safety time 
C)  bills of material 
D)  time fences 
E)  fixed-period lot sizing

Question 14

Independent demand tends to be more "lumpy" than dependent demand, meaning that we need large quantities followed by periods of no demand.

Accepted Answer

A) True 
 B)False

Question 15

Given the following data, construct a material requirements plan which will result in 100 units of Parent 1 (P1) at the beginning of week 6, and 200 units of Parent 2 (P2) at the beginning of week 8:

Accepted Answer

Item A has an on-hand balance

Question 16

When MRP II systems include feedback, they are known as:

Accepted Answer

A)  MRP III. 
B)  enterprise resource planning. 
C)  circular MRP. 
D)  feasible MRP. 
E)  closed loop MRP. 
A)  MRP III. 
B)  enterprise resource planning. 
C)  circular MRP. 
D)  feasible MRP. 
E)  closed loop MRP.

Question 17

Which one of the following is not an input in an MRP system?

Accepted Answer

A)  planned-order schedules 
B)  bill of materials 
C)  master production schedule 
D)  inventory records 
E)  All are inputs. 
A)  planned-order schedules 
B)  bill of materials 
C)  master production schedule 
D)  inventory records 
E)  All are inputs.

Question 18

The MRP input stating which end items are to be produced, when they are needed, and what quantities are needed, is the:

Accepted Answer

A)  master schedule. 
B)  bill of materials. 
C)  inventory records. 
D)  assembly time chart. 
E)  net requirements chart. 
A)  master schedule. 
B)  bill of materials. 
C)  inventory records. 
D)  assembly time chart. 
E)  net requirements chart.

Question 19

Backflushing takes place:

Accepted Answer

A)  when inventory records need updating. 
B)  after some bills of material have been found to be inaccurate. 
C)  after production has been completed. 
D)  when customer orders are being reconciled. 
E)  when previous periods' planned releases are converted to scheduled receipts. 
A)  when inventory records need updating. 
B)  after some bills of material have been found to be inaccurate. 
C)  after production has been completed. 
D)  when customer orders are being reconciled. 
E)  when previous periods' planned releases are converted to scheduled receipts.

Question 20

In an MRP master schedule, the planning horizon is often separated into a series of time periods called:

Accepted Answer

A)  pegging. 
B)  lead times. 
C)  stacked lead times. 
D)  time buckets. 
E)  firm, fixed, and frozen. 
A)  pegging. 
B)  lead times. 
C)  stacked lead times. 
D)  time buckets. 
E)  firm, fixed, and frozen.

Exam 12: MRP and ERP

A visual depiction of the subassemblies and components that are needed to produce and/or assemble a product is called a(n):

MRP works best if the inventory items have dependent demand.

MRP, considering inventory position, bills of material, open purchase orders, and lead times guarantees a feasible production plan if the inputs to MRP are accurate.

Which of the following is not usually necessary in order to have an effective MRP system?

Comparing known and expected capacity requirements with projected capacity availability is the job of:

Capacity requirements planning helps managers reconcile __________ with __________.

Lot-for-lot ordering in MRP eliminates the holding costs for parts that are carried over to other periods.

The identification of parent items is called:

Which of the following lot sizing methods does not attempt to balance ordering (or setup) and holding costs?

Low-level coding represents items less than $18 per unit.

One of the primary output reports of MRP concerns changes to planned orders.

Which of the following represents an attempt to balance the benefits of stability against the benefits of responding to new information?

Independent demand tends to be more "lumpy" than dependent demand, meaning that we need large quantities followed by periods of no demand.

Given the following data, construct a material requirements plan which will result in 100 units of Parent 1 (P1) at the beginning of week 6, and 200 units of Parent 2 (P2) at the beginning of week 8:

When MRP II systems include feedback, they are known as:

Which one of the following is not an input in an MRP system?

The MRP input stating which end items are to be produced, when they are needed, and what quantities are needed, is the:

Backflushing takes place:

In an MRP master schedule, the planning horizon is often separated into a series of time periods called:

Introduction to Operations Management

Competitiveness, Strategy, and Productivity

Forecasting

Product and Service Design

Extension: Reliability

Strategic Capacity Planning for Products and Services

Extension: Decision Theory

Process Selection and Facility Layout

Work Design and Measurement

Extension: Learning Curves

Location Planning and Analysis

Extension: The Transportation Model

Management of Quality

Quality Control

Extension: Acceptance Sampling

Aggregate Planning and Master Scheduling

Inventory Management

Jit and Lean Operations

Extension: Maintenance

Supply Chain Management

Scheduling

Project Management

Management of Waiting Lines

Linear Programming

Filters

Capacity requirements planning helps managers reconcile with .