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APICS Certified in Planning and Inventory Management(Part 2) Sample Questions:

1. Fixed order quantity = 100 units
Lead time = 2 weeks
Safety stock = 25 units
What is the projectedavailable balance in period 5?

A) 130 units
B) 70 units
C) 105 units
D) 30 units

2. Which of the following environments would benefit most from full pegging?

A) Make-to-order (MTO)
B) Assemble-to-order (ATO)
C) Make-to-stock (MTS)
D) Distribute-to-order

3. A life cycle assessment (LCA) would be used to determine:

A) how an item should be scheduled.
B) if risk pooling would reduce inventory investment.
C) the length of a long-term agreement.
D) environmental aspects and impacts.

4. Which of the following tools is used to evaluate the impact that a production plan has on capacity?

A) Demand time fence (DTF)
B) Safety capacity
C) Product routing
D) Bill of resources

5. Rivalry among competing sellers is generally weaker when:

A) the products of rival sellers are commodities.
B) the number of rivals increases, and rivals are of roughly equal size and competitive capability.
C) buyer demand is growing rapidly.
D) buyer costs to switch brands are low.

Solutions: