Question 1

Which of the following is correct?

Accepted Answer

A)  consolidating shipments reduces billing and collecting costs 
B)  line haul cost per hundredweight can be reduced by increasing the weight shipped 
C)  shipping costs will be higher with common carriers than contract carriers 
D)  all of the above 
E)  none of the above. 
A)  consolidating shipments reduces billing and collecting costs 
B)  line haul cost per hundredweight can be reduced by increasing the weight shipped 
C)  shipping costs will be higher with common carriers than contract carriers 
D)  all of the above 
E)  none of the above. D

Question 2

The rate charged by a carrier will vary with: I. The value of the goods.
II) The density of the goods.
III) The color of the goods.

Accepted Answer

A)  all the above 
B)  I and II only 
C)  I and III only 
D)  II and III only 
E)  I only. 
A)  all the above 
B)  I and II only 
C)  I and III only 
D)  II and III only 
E)  I only. B

Question 3

Which of the following statements is FALSE?

Accepted Answer

A)  pipeline capital costs are high in comparison with other modes 
B)  air cargo is generally used for low value bulky items 
C)  truck transport is suitable for distribution of small volume goods to a dispersed market 
D)  water transport is slower than rail 
E)  rail transport is more suited to bulky low value items than road transport. 
A)  pipeline capital costs are high in comparison with other modes 
B)  air cargo is generally used for low value bulky items 
C)  truck transport is suitable for distribution of small volume goods to a dispersed market 
D)  water transport is slower than rail 
E)  rail transport is more suited to bulky low value items than road transport. B

Question 4

Which of the following statements is true regarding goods in a reverse logistics system?

Accepted Answer

A)  Volumes are equal to the forward logistics system. 
B)  They travel through the same terminals as the forward logistics system. 
C)  The goods tend to be small in quantity. 
D)  Little product information is required. 
E)  All of the above are true. 
A)  Volumes are equal to the forward logistics system. 
B)  They travel through the same terminals as the forward logistics system. 
C)  The goods tend to be small in quantity. 
D)  Little product information is required. 
E)  All of the above are true.

Question 5

Which of the following statements is best regarding distribution channels?

Accepted Answer

A)  There are only two members in any distribution channel. 
B)  The transaction channel is concerned with transfer of ownership. 
C)  The distribution channel is concerned with the transfer of goods 
D)  all the above are true 
E)  b and c only are true. 
A)  There are only two members in any distribution channel. 
B)  The transaction channel is concerned with transfer of ownership. 
C)  The distribution channel is concerned with the transfer of goods 
D)  all the above are true 
E)  b and c only are true.

Question 6

The two criteria for establishing a particular physical distribution system are:

Accepted Answer

A)  cost of the system and service level desired 
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. 
A)  cost of the system and service level desired 
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 is true?

Accepted Answer

A)  because of high capital cost, rail must have a large volume of traffic to justify the expense 
B)  water transport requires low rates of energy per ton mile moved 
C)  operating costs per ton mile tend to be low for trucks 
D)  a and b above 
E)  b and c above. 
A)  because of high capital cost, rail must have a large volume of traffic to justify the expense 
B)  water transport requires low rates of energy per ton mile moved 
C)  operating costs per ton mile tend to be low for trucks 
D)  a and b above 
E)  b and c above.

Question 8

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:

Accepted Answer

A)  260 miles 
B)  130 miles 
C)  125 miles 
D)  100 miles 
E)  50 miles 
A)  260 miles 
B)  130 miles 
C)  125 miles 
D)  100 miles 
E)  50 miles

Question 9

Which mode would provide the fastest service capability?

Accepted Answer

A)  air 
B)  motor 
C)  rail 
D)  water. 
A)  air 
B)  motor 
C)  rail 
D)  water.

Question 10

Which of the following statements is best?

Accepted Answer

A)  physical distribution provides a bridge between marketing and production 
B)  physical distribution contributes towards creating demand 
C)  replenishment orders to replace field warehouse stocks will not affect production 
D)  a and b are true 
E)  b and c are true. 
A)  physical distribution provides a bridge between marketing and production 
B)  physical distribution contributes towards creating demand 
C)  replenishment orders to replace field warehouse stocks will not affect production 
D)  a and b are true 
E)  b and c are true.

Question 11

The particular way materials move will depend upon:

Accepted Answer

A)  the channels of distribution the firm is using 
B)  types of markets served 
C)  characteristics of the product 
D)  all of the above 
E)  none of the above. 
A)  the channels of distribution the firm is using 
B)  types of markets served 
C)  characteristics of the product 
D)  all of the above 
E)  none of the above.

Question 12

Which of the following types of transportation will provide the best service capability?

Accepted Answer

A)  common 
B)  contract 
C)  private 
D)  all of the above are equal 
E)  none of the above. 
A)  common 
B)  contract 
C)  private 
D)  all of the above are equal 
E)  none of the above.

Question 13

TOTAL line haul costs will vary directly with:

Accepted Answer

A)  the distance moved 
B)  the weight moved 
C)  the density of the goods 
D)  a and b above 
E)  b and c above. 
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 14

A contract carrier provides:

Accepted Answer

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. 
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.

Question 15

Of the five modes of transportation, which one requires the lowest capital investment?

Accepted Answer

A)  air 
B)  motor 
C)  rail 
D)  water 
E)  pipeline. 
A)  air 
B)  motor 
C)  rail 
D)  water 
E)  pipeline.

Question 16

Considering the service desired and the relative cost of the item, which of the following would you most likely ship by truck?

Accepted Answer

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. 
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 17

Which of the following are elements in transportation cost?

Accepted Answer

A)  line haul 
B)  pickup and delivery 
C)  terminal handling 
D)  all of the above 
E)  none of the above. 
A)  line haul 
B)  pickup and delivery 
C)  terminal handling 
D)  all of the above 
E)  none of the above.

Question 18

Which of the following statements is best?

Accepted Answer

A)  the objective of distribution management is to provide the required level of service at least cost 
B)  there will be cost trade-off between the various activities in physical distribution 
C)  distribution can operate separately from marketing and production 
D)  a and b are true 
E)  b and c are true. 
A)  the objective of distribution management is to provide the required level of service at least cost 
B)  there will be cost trade-off between the various activities in physical distribution 
C)  distribution can operate separately from marketing and production 
D)  a and b are true 
E)  b and c are true.

Question 19

In which case(s) would you use contract carriers instead of common carriers?

Accepted Answer

A)  regular delivery by a food chain to its stores 
B)  shipment to customers by a mail order house 
C)  regular shipment of paper from a mill to its warehouse 
D)  a and b above 
E)  a and c above. 
A)  regular delivery by a food chain to its stores 
B)  shipment to customers by a mail order house 
C)  regular shipment of paper from a mill to its warehouse 
D)  a and b above 
E)  a and c above.

Question 20

The term used for placing the responsibility on the supplier to dispose of packaging or restricted materials is called

Accepted Answer

A)  Sustainability 
B)  Green reverse logistics 
C)  Fourth party logistics 
D)  Vendor-managed inventory 
A)  Sustainability 
B)  Green reverse logistics 
C)  Fourth party logistics 
D)  Vendor-managed inventory

Which of the following is correct?

The rate charged by a carrier will vary with: I. The value of the goods. II) The density of the goods. III) The color of the goods.

Which of the following statements is FALSE?

Which of the following statements is true regarding goods in a reverse logistics system?

Which of the following statements is best regarding distribution channels?

The two criteria for establishing a particular physical distribution system are:

Which of the following is true?

Which mode would provide the fastest service capability?

Which of the following statements is best?

The particular way materials move will depend upon:

Which of the following types of transportation will provide the best service capability?

TOTAL line haul costs will vary directly with:

A contract carrier provides:

Of the five modes of transportation, which one requires the lowest capital investment?

Considering the service desired and the relative cost of the item, which of the following would you most likely ship by truck?

Which of the following are elements in transportation cost?

Which of the following statements is best?

In which case(s) would you use contract carriers instead of common carriers?

The term used for placing the responsibility on the supplier to dispose of packaging or restricted materials is called

Introduction to Materials Management

Production Planning System

Master Scheduling

Material Requirements Planning

Capacity Management

Production Activity Control

Purchasing

Forecasting

Inventory Fundamentals

Order Quantities

Independent Demand Ordering Systems

Physical Inventory and Warehouse Management

Products and Processes

Lean Production

Total Quality Management

Filters

Exam 13: Physical Distribution

Which of the following is correct?

The rate charged by a carrier will vary with: I. The value of the goods. II) The density of the goods. III) The color of the goods.

Which of the following statements is FALSE?

Which of the following statements is true regarding goods in a reverse logistics system?

Which of the following statements is best regarding distribution channels?

The two criteria for establishing a particular physical distribution system are:

Which of the following is true?

Which mode would provide the fastest service capability?

Which of the following statements is best?

The particular way materials move will depend upon:

Which of the following types of transportation will provide the best service capability?

TOTAL line haul costs will vary directly with:

A contract carrier provides:

Of the five modes of transportation, which one requires the lowest capital investment?

Considering the service desired and the relative cost of the item, which of the following would you most likely ship by truck?

Which of the following are elements in transportation cost?

Which of the following statements is best?

In which case(s) would you use contract carriers instead of common carriers?

The term used for placing the responsibility on the supplier to dispose of packaging or restricted materials is called

Introduction to Materials Management

Production Planning System

Master Scheduling

Material Requirements Planning

Capacity Management

Production Activity Control

Purchasing

Forecasting

Inventory Fundamentals

Order Quantities

Independent Demand Ordering Systems

Physical Inventory and Warehouse Management

Products and Processes

Lean Production

Total Quality Management

Filters