Materials Management - 5

Select The Blank
Question
Conformance to ________ is checked against component drawings.
Correct Answer
Dimensions
Your Answer
Dimensions

Multiple Choice Single Answer
Question
The inventories which refer to the maintenance, repair and operation supplies which are consumed during process of manufacturing but do not become part of the product is :-
Correct Answer
MRO inventories
Your Answer
MRO inventories

True/False
Question
Import substitution in reality should be looked upon as "Import avoidance"
Correct Answer
True
Your Answer
True

True/False
Question
Deterioration & Obsolescence cost are similar.
Correct Answer
False
Your Answer
True

Select The Blank
Question
Customs duty is charged on the imported goods as per ________.
Correct Answer
Customs tariff rules
Your Answer
Customs tariff rules

Multiple Choice Multiple Answer
Question
In a contract buyer has right to :-
Correct Answer
Examine the goods , Reject the goods delivered in wrong quantity , Reject non conforming goods
Your Answer
Examine the goods , Reject the goods delivered in wrong quantity , Sue for interest of buyer

Select The Blank
Question
________ of the department refers to the placement of the department in the structure of the company.
Correct Answer
Status
Your Answer
Location

True/False
Question
Purchasing policies are implemented by framing procedures and rules.
Correct Answer
True
Your Answer
True

True/False
Question
Black bituminous paint should be applied to rubber parts.
Correct Answer
False
Your Answer
False

Multiple Choice Single Answer
Question
Pending purchases indent report :-
Correct Answer
Highlights indents yet to be converted in to purchase-orders
Your Answer
Highlights indents yet to be converted in to purchase-orders

Multiple Choice Multiple Answer
Question
Correct issues must have :-
Correct Answer
Written requisitions , Authorized requisitions
Your Answer
Written requisitions , Authorized requisitions , Name of requisitor

Multiple Choice Multiple Answer
Question
The following are the actions would help to improve effectiveness of materials planning :-
Correct Answer
Accurate forecasting , Computerization , Shorter materials plan period
Your Answer
Accurate forecasting , Computerization , Increase in lead time

Select The Blank
Question
Systematic, formal and continuous analysis of all factors affect ________ management function is known as Materials research.
Correct Answer
Materials
Your Answer
Materials

True/False
Question
OEM discount is given by the supplier with a view to widen customer's base.
Correct Answer
True
Your Answer
False

Multiple Choice Single Answer
Question
A buyer gives wrong idea to his supplier about his requirements or show a fictitious figure to get some price discount is called as :-
Correct Answer
Misrepresentation of facts
Your Answer
Misrepresentation of facts

Multiple Choice Multiple Answer
Question
Purchasing and procurement cost reduction is possible through :-
Correct Answer
Blanket orders , Green purchasing , System contracting
Your Answer
Blanket orders , Green purchasing , System contracting

Select The Blank
Question
________ department in almost all companies is the biggest spending department and the custodian of company's purse.
Correct Answer
Purchasing
Your Answer
Purchasing

Select The Blank
Question
________ find their use in identification of raw materials, lubricants, pipelines etc.
Correct Answer
Colour codes
Your Answer
Colour codes

Select The Blank
Question
________ is a complex combination of men, machines, materials and tools.
Correct Answer
Manufacturing
Your Answer
Operation

Multiple Choice Single Answer
Question
What is the meaning of storekeeping?
Correct Answer
Physical storage of goods under custodianship in a systematic manner
Your Answer
Physical storage of goods under custodianship in a systematic manner

True/False
Question
Value analysis is the cost reduction technique.
Correct Answer
True
Your Answer
True

Multiple Choice Single Answer
Question
Competitive price information must be treated as confidential and should not be disclosed to the bidders with an intention of allowing them to rebid is :-
Correct Answer
Improprieties of bids
Your Answer
Improprieties of bids

Match The Following
Question
Correct Answer
Your Answer
JE
Journal Entries
Journal Entries
PO
Purchase order
Purchase order
GRN
Goods receipt note
Goods receipt note
DN
Discrepancy note.
Discrepancy note.

Multiple Choice Single Answer
Question
Traffic division is concerned with :-
Correct Answer
Arrangement of eco. Transportation of incoming and outgoing materials
Your Answer
Arrangement of eco. Transportation of incoming and outgoing materials

Multiple Choice Single Answer
Question
Issue of stock is :-
Correct Answer
Process of reacting by stores
Your Answer
Process of reacting by stores

True/False
Question
Cancellation of orders on flimsy ground is unethical.
Correct Answer
True
Your Answer
True

Select The Blank
Question
Systematic ________of stores is the key to its efficient operation.
Correct Answer
Layout
Your Answer
Layout

Multiple Choice Single Answer
Question
Foreign trade is controlled by Government for :-
Correct Answer
Promoting export &controlling import
Your Answer
Promoting export &controlling import

Multiple Choice Multiple Answer
Question
In review system-optional replenishment :-
Correct Answer
Reorder level is fixed , Review period is fixed
Your Answer
Review period is fixed , Reorder level is fixed

Multiple Choice Multiple Answer
Question
The receiving stores copy is used by it :-
Correct Answer
To ensure that supplier effects supply of only items ordered on him. , To ensure that supplier does not supply more than the quantity stipulated in the purchase order. , To ensure that the supplier effect deliveries through the mode of transport asked for by the buyer.
Your Answer
To ensure that supplier does not supply more than the quantity stipulated in the purchase order.

True/False
Question
A company wishing to use preferred numbers must decide first the smallest size to be made, then largest size to be made and then the total no. of sizes to be made.
Correct Answer
True
Your Answer
False

Multiple Choice Single Answer
Question
Finished goods means :-
Correct Answer
Goods which are ready to ship
Your Answer
Goods which are ready to ship

True/False
Question
JIT purchasing is indirectly the activity of pushing inventory on the suppliers.
Correct Answer
True
Your Answer
True

Multiple Choice Multiple Answer
Question
Quantity discounts are offered when :-
Correct Answer
Buyer tempts to produce large quantity , Production is higher & cost is less
Your Answer
Buyer tempts to produce large quantity , Production is higher & cost is less

Multiple Choice Multiple Answer
Question
Advantages of fixed price agreements are :-
Correct Answer
They are easy to administer , They give certainty to the buyer who knows from the start, amount he has to pay for the goods/services. , They protect buyer from possible financial risks from price escalations
Your Answer
They are easy to administer , They give certainty to the buyer who knows from the start, amount he has to pay for the goods/services. , They protect buyer from possible financial risks from price escalations

Select The Blank
Question
Originating department of daily material receipt report is ________.
Correct Answer
Receiving store
Your Answer
Receiving store

Select The Blank
Question
________ is the arrangement of items into groups according to a pre determined pattern.
Correct Answer
Classification
Your Answer
Classification

Multiple Choice Multiple Answer
Question
Main information in the bill of material is :-
Correct Answer
Part no. , Material specification , Quantity per assembly
Your Answer
Part no. , Material specification , Quantity per assembly

Match The Following
Question
Correct Answer
Your Answer
LC
Labour cost as considered at the time of contract
Labour cost as considered at the time of contract
MA
Actual material cost as on date.
Actual material cost as on date.
MC
Material cost as considered at the time of contract
Material cost as considered at the time of contract
LA
Actual labour cost as on date
Actual labour cost as on date

Multiple Choice Single Answer
Question
Heat is :-
Correct Answer
An physical agent
Your Answer
An physical agent

Multiple Choice Single Answer
Question
A formal request to the purchase department, by the indentor to procure the items mentioned therein and within the indicated time schedule is :-
Correct Answer
Purchase indent
Your Answer
Purchase indent

True/False
Question
Coal and coke gas used for power generation and process heating are direct materials.
Correct Answer
False
Your Answer
True

Select The Blank
Question
In a contract of sale by description the goods sold must be of ________ quality.
Correct Answer
Merchantable
Your Answer
Merchantable

True/False
Question
Annual total cost remain constant though stock-turn over rate changes.
Correct Answer
False
Your Answer
False

Multiple Choice Multiple Answer
Question
Obsolescence cost is :-
Correct Answer
Due stock on hand , Part No. / Name
Your Answer
Due stock on hand , Cause of the event , Number of turns

True/False
Question
Single tender system is used when there is only one supplier of the item.
Correct Answer
True
Your Answer
True

Select The Blank
Question
In traditional purchasing, quality is confirmed ________.
Correct Answer
On receipt
Your Answer
On receipt