Take Test - Concept Check #12
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Grand Rapids Community College *
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Industrial Engineering
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Jan 9, 2024
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Take Test: Concept Check #12
This is the concept check for week #11. Please complete this by 11:59 PM EST
Monday(11/20/2023).
Questions are worth one point each for a total of 20 points.
Question 1
Which of the following costs is NOT included in the total laid down cost of a product shipped through a regional
warehouse?
A.
Product cost
B.
Warehouse cost
C.
TL to warehouse
D.
Warehousing cost
E.
Market boundary cost
Question 2
The LTL costs a product moving through a supply chain are $1 per mile and there is a warehouse 200
miles from Central supply. Truckload costs to the ware house are $50 and the warehouse handling and
storage costs are $10. The cost to ship the product to the warehouse $50. The market boundary for this
supply chain is:
A.
260 miles
B.
130 miles
C.
125 miles
D.
100 miles
E.
50 miles
Question 3
Transportation efficiencies promote:
A.
competition
B.
decreased capacity
C.
KPIs
D.
slower services
E.
longer distances
Question 4
TOTAL line-haul costs will vary directly with:
A.
the distance moved
B.
the weight moved
C.
the density of the goods
D.
a and b above
E.
b and c above
Question 5
Considering the service desired and the relative cost of the item, which of the following would you most
likely ship by truck?
A.
Regular shipments of cut flowers
B.
Regular shipments of iron ore
C.
Regular shipments of grain
D.
a and b above
E.
b and c above
Question 6
The two criteria for establishing a particular physical distribution system are:
A.
cost of the system and service level desired (I was right, please, adjust.)
B.
service level and cost of carrying inventory
C.
cost of transportation and cost of warehousing
D.
cost of transportation and materials handling
E.
cost of warehousing and cost of inventory
Question 7
Which of the following are elements in the cost of carriage?
I.
Ways
II.
Vehicles
III.
Terminals
A.
I, II, and III
B.
II and III
C.
I and II
D.
I and III
E.
none of the above
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Question 8
A shipper moving expensive goods of small size from Boston to Seattle would likely use:
A.
air
B.
motor
C.
rail
D.
water
E.
none of the above
Question 9
The consolidation of several units into larger units for fewer handlings is called:
A.
unitization
B.
consolidation
C.
cube utilization
D.
packaging
E.
materials handling
Question 10
Which of the following statements is true?
A.
Goods are stored in a distribution warehouse for long periods of time
B.
A depository for documents is an example of a security warehouse
C.
Warehouses improve customer service
D.
a and b
E.
b and c
Question 11
Which of the following is NOT an important role of distribution centers?
A.
Transportation consolidation
B.
In-transit inventory (Correct)
C.
Product mixing
D.
Break-bulk storage
E.
Customer service
Question 12
A contract carrier provides:
A.
a service available to the general public
B.
a scheduled service
C.
published rates
D.
all of the above
E.
none of the above (Correct)
Question 13
In a warehouse operation, labor is usually the largest capital cost.
True
False (Correct)
Question 14
A company ships a particular product to a market located 2100 miles from the plant at a cost of $5.50 per
mile. Normally it ships 425 units at a time. What is the line haul cost per unit?
A.
$28
B.
$27.17
C.
$28.25
D.
$27.07
Question 15
[] relates to the consolidation of several units into large units known as unit loads.
Utilization
Question 16
In which order picking and assembly method is the order picker NOT confined to one location?
A.
Multi-order system
B.
Zone system
C.
Floating system
D.
Area system
E.
Mobile system
Question 17
In a cycle counting system:
A.
all items are counted each month
B.
item counts are determined by their ABC classification
C.
the purpose is to correct inventory imbalances
D.
count the A items first, then B’s then C’s
E.
counts are done at the end of the business year
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A company want to store an SKU consisting of 6000 cartons on pallets, each containing 30 cartons. They
are going to be stored 4 high in the warhouse. How many pallet positions do they need?
A.
205
B.
50
C.
202
D.
215
Question 19
A company has 7700 cartons to store on pallets. Each pallet takes 35 cartons, and the cartons are stored
5 high. How many pallet positions are needed?
A.
44
B.
55
Question 20
Which of the following is NOT an advantage of point-of-use storage?
A.
Materials are readily accessible to users
B.
Material handling is reduced or eliminated
C.
Central storage costs are reduced
D.
Inventory record accuracy is easier to maintain
E.
Material is accessible at all times.