Question 1

What is the net requirement for Whatzats to fill this order?

Accepted Answer

A)  100 
B)  140 
C)  150 
D)  180 
E)  200 
A)  100 
B)  140 
C)  150 
D)  180 
E)  200

Question 2

Periodic updating of an MRP system to account for all changes which have occurred within a given time interval is called:

Accepted Answer

A)  pegging. 
B)  planned order releases. 
C)  net-change MRP. 
D)  regenerative MRP. 
E)  exception report. 
A)  pegging. 
B)  planned order releases. 
C)  net-change MRP. 
D)  regenerative MRP. 
E)  exception report.

Question 3

A report that compares known and expected future capacity requirements with projected available capacity is a:

Accepted Answer

A)  master production schedule. 
B)  bill of material report. 
C)  inventory status report. 
D)  MRP schedule. 
E)  load report. 
A)  master production schedule. 
B)  bill of material report. 
C)  inventory status report. 
D)  MRP schedule. 
E)  load report.

Question 4

Lumpy demand for components required for finished goods results primarily from the periodic scheduling of batch production of the goods.

Accepted Answer

A) True 
 B)False

Question 5

Load reports of capacity may be misleading as they do not consider queuing delays.

Accepted Answer

A) True 
 B)False

Question 6

In MRP,"scheduled receipts" are:

Accepted Answer

A)  identical to "planned-order receipts." 
B)  identical to "planned-order releases." 
C)  open orders already scheduled to be delivered. 
D)  "net requirements" in a time period. 
E)  None of the choices. 
A)  identical to "planned-order receipts." 
B)  identical to "planned-order releases." 
C)  open orders already scheduled to be delivered. 
D)  "net requirements" in a time period. 
E)  None of the choices.

Question 7

The part-period method for lot sizing attempts to balance setup and holding costs.

Accepted Answer

A) True 
 B)False

Question 8

Dependent demand tends to be intermittent,whereas independent demand tends to be more stable.

Accepted Answer

A) True 
 B)False

Question 9

Lot-for-lot ordering in MRP provides coverage for some predetermined number of periods.

Accepted Answer

A) True 
 B)False

Question 10

The part-period method for lot sizing breaks the time periods into smaller units of time to create daily or hourly production schedules.

Accepted Answer

A) True 
 B)False

Question 11

A phantom bill is a special type of bill of material that is a combination of the bill of materials for a number of subassemblies.

Accepted Answer

A) True 
 B)False

Question 12

Load reports compare planned capacity requirements with projected capacity and availability.

Accepted Answer

A) True 
 B)False

Question 13

Typically the total cost of ownership (TCO)of ERP systems is clearly detailed and certain at the time a company makes the investment to acquire a system.

Accepted Answer

A) True 
 B)False

Question 14

How many Wherezats should be ordered?

Accepted Answer

A)  400 
B)  450 
C)  500 
D)  550 
E)  600 
A)  400 
B)  450 
C)  500 
D)  550 
E)  600

Question 15

Using the product-tree shown,determine the following:
(i)the quantity of component K that will be needed to assemble 80 units of P,assuming no on-hand inventory exists.
(ii)the quantity of component K needed to assemble 80 units of P,given on-hand inventory of 30 A's,50 B's and 20 C's.

Accepted Answer

The answer of Using the product-tree shown,determine the following:
(i)the quantity...

Question 16

Configuring the ERP software involves reengineering established business processes to align with the ERP's procedural settings.

Accepted Answer

A) True 
 B)False

Question 17

Which action can managers take if capacity requirements planning (CRP)indicate one or more work stations are projected to be under loaded or over loaded?

Accepted Answer

A)  Shifting some orders to adjacent periods. 
B)  Transferring employees from other areas. 
C)  Scheduling overtime. 
D)  Revise the MPS and MRP. 
E)  All of the choices are options. 
A)  Shifting some orders to adjacent periods. 
B)  Transferring employees from other areas. 
C)  Scheduling overtime. 
D)  Revise the MPS and MRP. 
E)  All of the choices are options.

Question 18

MRP II involves an expanded approach to production planning and scheduling than MRP.

Accepted Answer

A) True 
 B)False

Question 19

If the firm is using lot size for a fixed period of two,what is the order size for the first order?

Accepted Answer

A)  120 
B)  200 
C)  280 
D)  160 
E)  150 
A)  120 
B)  200 
C)  280 
D)  160 
E)  150

Question 20

In an MRP master production schedule,the planning horizon is often separated into a series of times periods called:

Accepted Answer

A)  pegging. 
B)  lead times. 
C)  stacked lead times. 
D)  time buckets. 
E)  None of the choices. 
A)  pegging. 
B)  lead times. 
C)  stacked lead times. 
D)  time buckets. 
E)  None of the choices.

Exam 14: Material Requirements Planning and Enterprise Resource Planning

What is the net requirement for Whatzats to fill this order?

Periodic updating of an MRP system to account for all changes which have occurred within a given time interval is called:

A report that compares known and expected future capacity requirements with projected available capacity is a:

Lumpy demand for components required for finished goods results primarily from the periodic scheduling of batch production of the goods.

Load reports of capacity may be misleading as they do not consider queuing delays.

In MRP,"scheduled receipts" are:

The part-period method for lot sizing attempts to balance setup and holding costs.

Dependent demand tends to be intermittent,whereas independent demand tends to be more stable.

Lot-for-lot ordering in MRP provides coverage for some predetermined number of periods.

The part-period method for lot sizing breaks the time periods into smaller units of time to create daily or hourly production schedules.

A phantom bill is a special type of bill of material that is a combination of the bill of materials for a number of subassemblies.

Load reports compare planned capacity requirements with projected capacity and availability.

Typically the total cost of ownership (TCO)of ERP systems is clearly detailed and certain at the time a company makes the investment to acquire a system.

How many Wherezats should be ordered?

Using the product-tree shown,determine the following: (i)the quantity of component K that will be needed to assemble 80 units of P,assuming no on-hand inventory exists. (ii)the quantity of component K needed to assemble 80 units of P,given on-hand inventory of 30 A's,50 B's and 20 C's.

Configuring the ERP software involves reengineering established business processes to align with the ERP's procedural settings.

Which action can managers take if capacity requirements planning (CRP)indicate one or more work stations are projected to be under loaded or over loaded?

MRP II involves an expanded approach to production planning and scheduling than MRP.

If the firm is using lot size for a fixed period of two,what is the order size for the first order?

In an MRP master production schedule,the planning horizon is often separated into a series of times periods called:

Introduction to Operations Management

Competitiveness, Strategic Planning, and Productivity

Demand Forecasting

A: Product Design

B: Product Design

A: Strategic Capacity Planning

B: Strategic Capacity Planning

A: Process Design and Facility Layout

B: Process Design and Facility Layout

A: Design of Work Systems

B: Design of Work Systems

A: Location Planning and Analysis

B: Location Planning and Analysis

Management of Quality

A: Statistical Quality Control

B: Statistical Quality Control

Supply Chain Management

Inventory Management

Aggregate Operations Planning

A: Just-In-Time and Lean Production

B: Just-In-Time and Lean Production

Job and Staff Scheduling

Project Management

A: Waiting-Line Analysis

B: Waiting-Line Analysis

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