Question 1

As a means to protect domestic industries, which of the following requirements is an example of a non-trade barrier?

Accepted Answer

A)  Requesting a mandatory consular invoice 
B)  Utilizing Convention on International Sale of Goods (CISG) 
C)  Mandating compliance with triple bottom line (TBL) 
D)  Demanding process efficiency 
A)  Requesting a mandatory consular invoice 
B)  Utilizing Convention on International Sale of Goods (CISG) 
C)  Mandating compliance with triple bottom line (TBL) 
D)  Demanding process efficiency

Question 2

A transit privilege permits a shipper to:

Accepted Answer

A)  enter a foreign/free trade zone (FTZ) to perform transportation services. 
B)  avoid paying tariffs to local authorities. 
C)  temporarily stop a shipment to physically transform products. 
D)  stop at any port of call without prior notification. 
A)  enter a foreign/free trade zone (FTZ) to perform transportation services. 
B)  avoid paying tariffs to local authorities. 
C)  temporarily stop a shipment to physically transform products. 
D)  stop at any port of call without prior notification.

Question 3

If a firm is concerned with high duty rates, on which of the following criteria should it focus?

Accepted Answer

A)  Type of goods imported and their value 
B)  Type of goods imported and their cost 
C)  Type of goods exported and their value 
D)  Type of goods exported and their cost 
A)  Type of goods imported and their value 
B)  Type of goods imported and their cost 
C)  Type of goods exported and their value 
D)  Type of goods exported and their cost

Question 4

Which of the following situations best describes when duty drawbacks can be granted?

Accepted Answer

A)  A manufacturer minimally transforms imports, making products that are then exported. 
B)  A distributor resells imported products. 
C)  All of the raw materials are imported, a product is created, and then sold domestically. 
D)  An exported product has significant domestic content. 
A)  A manufacturer minimally transforms imports, making products that are then exported. 
B)  A distributor resells imported products. 
C)  All of the raw materials are imported, a product is created, and then sold domestically. 
D)  An exported product has significant domestic content.

Question 5

Stockout frequency refers to:

Accepted Answer

A)  the probability that a firm will not have inventory available to meet customer orders. 
B)  a single event where a firm will not have inventory available to meet customer orders. 
C)  the cost of sales that a firm will have when insufficient inventory is available to meet customer orders. 
D)  the percentage of days in which inventory necessary to meet customer orders is missing. 
A)  the probability that a firm will not have inventory available to meet customer orders. 
B)  a single event where a firm will not have inventory available to meet customer orders. 
C)  the cost of sales that a firm will have when insufficient inventory is available to meet customer orders. 
D)  the percentage of days in which inventory necessary to meet customer orders is missing.

Question 6

A company has a line haul cost between Point A and Point B of $5 per mile. The distance between the two points is 750 miles. What is the cost per hundredweight (cwt) for a shipment weighing 45,000 pounds?

Accepted Answer

A)  $0.12 
B)  $5.00 
C)  $8.33 
D)  $9.00 
A)  $0.12 
B)  $5.00 
C)  $8.33 
D)  $9.00

Question 7

An American company that ships bulk product manufactures in Asia and sold in Europe may consider which of the following intermodal practices to help minimize total transportation costs?

Accepted Answer

A)  Rail bridge 
B)  Last mile delivery 
C)  Landway 
D)  Land bridge 
A)  Rail bridge 
B)  Last mile delivery 
C)  Landway 
D)  Land bridge

Question 8

A developing country would like to improve its trade relations with Europe by updating its port infrastructure. Which international organization would help fund the project?

Accepted Answer

A)  the bank for International Settlements 
B)  The World bank 
C)  The Central bank 
D)  The International Monetary Fund 
A)  the bank for International Settlements 
B)  The World bank 
C)  The Central bank 
D)  The International Monetary Fund

Question 9

A company that utilizes barges as a major mode of transportation would typically navigate in:

Accepted Answer

A)  global maritime routes 
B)  land bridges 
C)  inland waterways 
D)  intermodal transportation 
A)  global maritime routes 
B)  land bridges 
C)  inland waterways 
D)  intermodal transportation

Question 10

A document that serves as a contract, a receipt, and a certificate of title in an international transaction is known as a:

Accepted Answer

A)  certificate of origin 
B)  manifest 
C)  packing list 
D)  bill of lading (B\L) 
A)  certificate of origin 
B)  manifest 
C)  packing list 
D)  bill of lading (B\L)

Question 11

A company finds itself constantly expending its customer's retail store deliveries in order to prevent stock-outs. The best solution to this problem is to:

Accepted Answer

A)  carry additional inventory to satisfy customer's demand. 
B)  balance the supply of inventory with the demand. 
C)  minimize the inventory risk of product obsolescence. 
D)  increase inventory turns to the highest possible value. 
A)  carry additional inventory to satisfy customer's demand. 
B)  balance the supply of inventory with the demand. 
C)  minimize the inventory risk of product obsolescence. 
D)  increase inventory turns to the highest possible value.

Question 12

A company wants to minimize tariff costs while avoiding the need to file for duty drawback. Which of the following practices would best achieve this objective?

Accepted Answer

A)  Adopt Customs Trade Partnership Against Terrorism (C-TPAT) rules 
B)  Use foreign/free trade zones (FTZs) 
C)  Use an international third-party logistics (3PL) provider 
D)  Ship by free on board (FO
B)  terms 
A)  Adopt Customs Trade Partnership Against Terrorism (C-TPAT) rules 
B)  Use foreign/free trade zones (FTZs) 
C)  Use an international third-party logistics (3PL) provider 
D)  Ship by free on board (FO
B)  terms

Question 13

When looking at on organization's logistics system, which of the following expenses is the single largest variable cost?

Accepted Answer

A)  Inventory carrying costs 
B)  transportation costs 
C)  Warehouse operation costs 
D)  Supply management costs 
A)  Inventory carrying costs 
B)  transportation costs 
C)  Warehouse operation costs 
D)  Supply management costs

Question 14

A customer is looking to purchase product from a company. Which of the following outputs of outbound order management would the customer consider primary?

Accepted Answer

A)  Order cycle time 
B)  Logistics operations responsiveness 
C)  Postsale logistics support 
D)  Product availability 
A)  Order cycle time 
B)  Logistics operations responsiveness 
C)  Postsale logistics support 
D)  Product availability

Question 15

A company would like to encourage shippers to partner on sustainability initiatives. Which of the following rates would best meet this objective?

Accepted Answer

A)  Density 
B)  Incentive 
C)  Differential 
D)  Blanket 
A)  Density 
B)  Incentive 
C)  Differential 
D)  Blanket

Question 16

Which of the following outcomes is a potential advantage of operating an efficient reverse logistics process?

Accepted Answer

A)  Provides competitive differentiation 
B)  Enables visibility throughout the supply chain 
C)  Improves the product life cycle 
D)  Reduces transportation costs 
A)  Provides competitive differentiation 
B)  Enables visibility throughout the supply chain 
C)  Improves the product life cycle 
D)  Reduces transportation costs

Question 17

In the economic utility function of logistics, logistics adds:

Accepted Answer

A)  form and time utilities to products, while other activities add place and possession utilities. 
B)  possession and place utilities to products, while other activities add form and possession utilities. 
C)  place and time utilities to products, while other activities add form and possession utilities. 
D)  possession and form utilities to products, while other activities add time and place utilities. 
A)  form and time utilities to products, while other activities add place and possession utilities. 
B)  possession and place utilities to products, while other activities add form and possession utilities. 
C)  place and time utilities to products, while other activities add form and possession utilities. 
D)  possession and form utilities to products, while other activities add time and place utilities.

Question 18

An organization wanting to improve the management of resources and exceptions across the supply chain should focus on enhancing:

Accepted Answer

A)  supply chain visibility. 
B)  simultaneous consideration of resources. 
C)  resource utilization. 
D)  overall asset utilization. 
A)  supply chain visibility. 
B)  simultaneous consideration of resources. 
C)  resource utilization. 
D)  overall asset utilization.

Question 19

Which of the following is normally within the logistics function of a manufacturing organization?

Accepted Answer

A)  Production management 
B)  Financial management 
C)  Warehouse management 
D)  Marketing management 
A)  Production management 
B)  Financial management 
C)  Warehouse management 
D)  Marketing management

Question 20

A corporation is redesigning its warehouse and has decided to use a rack system that allows each level to be accesses individually by placing pallets on wheeled frames. The rack system that best meets this criteria is:

Accepted Answer

A)  flow-through 
B)  push-back 
C)  drive-in 
D)  double-deep 
A)  flow-through 
B)  push-back 
C)  drive-in 
D)  double-deep

As a means to protect domestic industries, which of the following requirements is an example of a non-trade barrier?

A transit privilege permits a shipper to:

If a firm is concerned with high duty rates, on which of the following criteria should it focus?

Which of the following situations best describes when duty drawbacks can be granted?

Stockout frequency refers to:

A company has a line haul cost between Point A and Point B of $5 per mile. The distance between the two points is 750 miles. What is the cost per hundredweight (cwt) for a shipment weighing 45,000 pounds?

An American company that ships bulk product manufactures in Asia and sold in Europe may consider which of the following intermodal practices to help minimize total transportation costs?

A developing country would like to improve its trade relations with Europe by updating its port infrastructure. Which international organization would help fund the project?

A company that utilizes barges as a major mode of transportation would typically navigate in:

A document that serves as a contract, a receipt, and a certificate of title in an international transaction is known as a:

A company finds itself constantly expending its customer's retail store deliveries in order to prevent stock-outs. The best solution to this problem is to:

A company wants to minimize tariff costs while avoiding the need to file for duty drawback. Which of the following practices would best achieve this objective?

When looking at on organization's logistics system, which of the following expenses is the single largest variable cost?

A customer is looking to purchase product from a company. Which of the following outputs of outbound order management would the customer consider primary?

A company would like to encourage shippers to partner on sustainability initiatives. Which of the following rates would best meet this objective?

Which of the following outcomes is a potential advantage of operating an efficient reverse logistics process?

In the economic utility function of logistics, logistics adds:

An organization wanting to improve the management of resources and exceptions across the supply chain should focus on enhancing:

Which of the following is normally within the logistics function of a manufacturing organization?

A corporation is redesigning its warehouse and has decided to use a rack system that allows each level to be accesses individually by placing pallets on wheeled frames. The rack system that best meets this criteria is:

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APICS Certified Supply Chain Professional

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Exam 1: Certification in Logistics, Transportation and Distribution

As a means to protect domestic industries, which of the following requirements is an example of a non-trade barrier?

A transit privilege permits a shipper to:

If a firm is concerned with high duty rates, on which of the following criteria should it focus?

Which of the following situations best describes when duty drawbacks can be granted?

Stockout frequency refers to:

A company has a line haul cost between Point A and Point B of $5 per mile. The distance between the two points is 750 miles. What is the cost per hundredweight (cwt) for a shipment weighing 45,000 pounds?

An American company that ships bulk product manufactures in Asia and sold in Europe may consider which of the following intermodal practices to help minimize total transportation costs?

A developing country would like to improve its trade relations with Europe by updating its port infrastructure. Which international organization would help fund the project?

A company that utilizes barges as a major mode of transportation would typically navigate in:

A document that serves as a contract, a receipt, and a certificate of title in an international transaction is known as a:

A company finds itself constantly expending its customer's retail store deliveries in order to prevent stock-outs. The best solution to this problem is to:

A company wants to minimize tariff costs while avoiding the need to file for duty drawback. Which of the following practices would best achieve this objective?

When looking at on organization's logistics system, which of the following expenses is the single largest variable cost?

A customer is looking to purchase product from a company. Which of the following outputs of outbound order management would the customer consider primary?

A company would like to encourage shippers to partner on sustainability initiatives. Which of the following rates would best meet this objective?

Which of the following outcomes is a potential advantage of operating an efficient reverse logistics process?

In the economic utility function of logistics, logistics adds:

An organization wanting to improve the management of resources and exceptions across the supply chain should focus on enhancing:

Which of the following is normally within the logistics function of a manufacturing organization?

A corporation is redesigning its warehouse and has decided to use a rack system that allows each level to be accesses individually by placing pallets on wheeled frames. The rack system that best meets this criteria is:

CPIM - Basics of Supply Chain Management

APICS Certified Supply Chain Professional

Filters