Exam 13: Physical Distribution

Memphis is 360 miles from Chattanooga, TN. The product cost for an item is $10 per cwt., and the transportation cost per mile per cwt. if $0.20. What is the laid- down cost per cwt.?

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(Short Answer)

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Question 1

Correct Answer:

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LDC = $10 + $0.20 X 360) = $82 per cwt.

The more________ the item, the greater the weight that can be carried in a given vehicle.

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(Multiple Choice)

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Question 2

Correct Answer:

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Discuss some of the variables that determine the specific way in which materials move.

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(Essay)

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Question 3

Correct Answer:

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Variables include: the channels of distribution that the firm is using, the types of markets served, the characteristics of the product, and the type of transportation available to move the material.

________are devices that move material horizontally or vertically between two fixed points in a fixed route.

(Multiple Choice)

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Question 4

Distribution centers improve customer service by providing place utility.

(True/False)

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Question 5

A company normally ships to a customer by rail at a cost of $500 per load. The transit time is 14 days. The goods can be shipped by truck for $700 per load and a transit time of 4 days. If transit inventory cost is $35 per day, what does it cost to ship each way?

(Short Answer)

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Question 6

Packaging is a pure cost that must be offset by the increased physical distribution inefficiency that the package provides.

(True/False)

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Question 7

Discuss the total- cost concept.

(Essay)

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Question 8

As distribution centers are added:

(Multiple Choice)

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Question 9

The average inventory carried depends on the order quantity and the safety stock.

(True/False)

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Question 10

Materials handling is the long- distance movement that takes place in or around a building such as a plant or distribution center DC).

(True/False)

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Question 11

Shipping patterns depend on:

(Multiple Choice)

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Question 12

The service levels decrease as the number of distribution centers increased.

(True/False)

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Question 13

For a particular commodity, the line- haul cost is $2.50 per mile. FOr a trip of 500 miles and a shipment of 600 cwt., what is the cost of shipping per cwt.? If the shipment is increased to 1,000 cwt., what is the savings in cost per cwt.?

(Essay)

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Question 14

A company ships dog houses fully assembled to luxury dog hotels. The average line- haul cost per shipment is $12.50 per mile and the truck carries 100 assembled large dog houses. The company decided to ship the houses unassembled and figures it can ship 500 in a truck. Calculate the line- haul cost per assembled and unassembled dog house. If the average trip is 300 miles, calculate the potential savings per dog house.

(Essay)

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Question 15

________is the consolidation of several units into large units so there is less handling.

(Multiple Choice)

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Question 16

While transportation consolidation is concerned with reduction of transportation costs, product mixing deals with the grouping of different items into an order and the economies that warehouses can provide in doing this.

(True/False)

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Question 17

Cranes and hoists move materially horizontally but not vertically, to any point within their area of operation.

(True/False)

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Question 18

Operating costs as the number of distribution centers .

(Multiple Choice)

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Question 19

Materials handling costs depend upon the number of units handled.

(True/False)

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Question 20

Showing 1 - 20 of 30

Memphis is 360 miles from Chattanooga, TN. The product cost for an item is $10 per cwt., and the transportation cost per mile per cwt. if $0.20. What is the laid- down cost per cwt.?

The more________ the item, the greater the weight that can be carried in a given vehicle.

Discuss some of the variables that determine the specific way in which materials move.

________are devices that move material horizontally or vertically between two fixed points in a fixed route.

Distribution centers improve customer service by providing place utility.

A company normally ships to a customer by rail at a cost of $500 per load. The transit time is 14 days. The goods can be shipped by truck for $700 per load and a transit time of 4 days. If transit inventory cost is $35 per day, what does it cost to ship each way?

Packaging is a pure cost that must be offset by the increased physical distribution inefficiency that the package provides.

Discuss the total- cost concept.

As distribution centers are added:

The average inventory carried depends on the order quantity and the safety stock.

Materials handling is the long- distance movement that takes place in or around a building such as a plant or distribution center DC).

Shipping patterns depend on:

The service levels decrease as the number of distribution centers increased.

For a particular commodity, the line- haul cost is $2.50 per mile. FOr a trip of 500 miles and a shipment of 600 cwt., what is the cost of shipping per cwt.? If the shipment is increased to 1,000 cwt., what is the savings in cost per cwt.?

________is the consolidation of several units into large units so there is less handling.

While transportation consolidation is concerned with reduction of transportation costs, product mixing deals with the grouping of different items into an order and the economies that warehouses can provide in doing this.

Cranes and hoists move materially horizontally but not vertically, to any point within their area of operation.

Operating costs as the number of distribution centers .

Materials handling costs depend upon the number of units handled.

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

Just-In-Time Manufacturing and Lean Production

Total Quality Management

Filters

Exam 13: Physical Distribution

Memphis is 360 miles from Chattanooga, TN. The product cost for an item is $10 per cwt., and the transportation cost per mile per cwt. if $0.20. What is the laid- down cost per cwt.?

The more________ the item, the greater the weight that can be carried in a given vehicle.

Discuss some of the variables that determine the specific way in which materials move.

________are devices that move material horizontally or vertically between two fixed points in a fixed route.

Distribution centers improve customer service by providing place utility.

A company normally ships to a customer by rail at a cost of $500 per load. The transit time is 14 days. The goods can be shipped by truck for $700 per load and a transit time of 4 days. If transit inventory cost is $35 per day, what does it cost to ship each way?

Packaging is a pure cost that must be offset by the increased physical distribution inefficiency that the package provides.

Discuss the total- cost concept.

As distribution centers are added:

The average inventory carried depends on the order quantity and the safety stock.

Materials handling is the long- distance movement that takes place in or around a building such as a plant or distribution center DC).

Shipping patterns depend on:

The service levels decrease as the number of distribution centers increased.

For a particular commodity, the line- haul cost is $2.50 per mile. FOr a trip of 500 miles and a shipment of 600 cwt., what is the cost of shipping per cwt.? If the shipment is increased to 1,000 cwt., what is the savings in cost per cwt.?

________is the consolidation of several units into large units so there is less handling.

While transportation consolidation is concerned with reduction of transportation costs, product mixing deals with the grouping of different items into an order and the economies that warehouses can provide in doing this.

Cranes and hoists move materially horizontally but not vertically, to any point within their area of operation.

Operating costs ________as the number of distribution centers________ .

Materials handling costs depend upon the number of units handled.

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

Just-In-Time Manufacturing and Lean Production

Total Quality Management

Filters

Operating costs as the number of distribution centers .