Question 1

Impulse shoplifters steal on the spur of the moment when they succumb to temptation.

Accepted Answer

A) True 
 B)False

Question 2

There are a number of different perpetual inventory systems.

Accepted Answer

A) True 
 B)False

Question 3

When watching for shoplifters,owners should remember that impulse shoplifters tend to work alone while juveniles and professionals work in groups.

Accepted Answer

A) True 
 B)False

Question 4

The dollar usage volume of an item is how the importance of the item to inventory is measured in an ABC inventory system.

Accepted Answer

A) True 
 B)False

Question 5

A POS system cannot be combined with the Universal Product Code labels.

Accepted Answer

A) True 
 B)False

Question 6

Consistent use of the system yields accurate inventory counts at any moment sporadic use creates problems.

Accepted Answer

A) True 
 B)False

Question 7

As inventory control techniques become increasingly sophisticated and accurate,slow-moving inventory will never be "lost" in the system.

Accepted Answer

A) True 
 B)False

Question 8

What is JIT II? How does it differ from JIT? What is the importance of those differences?

Accepted Answer

JIT II techniques focus on creating a cl

Question 9

The ________ shoplifter is often a regular customer,well-respected individual,etc.

Accepted Answer

A) juvenile 
B) kleptomaniac 
C) professional 
D) impulse 
A) juvenile 
B) kleptomaniac 
C) professional 
D) impulse

Question 10

The 80/20 rule states that 80% of each sales dollar should be spent on purchases,and the remaining 20% should go towards covering costs and making a profit.

Accepted Answer

A) True 
 B)False

Question 11

Doing daily inspections of the cash register tape to check for employee theft are of little value since the theft would have already taken place and it would be difficult to trace and prove at that point.

Accepted Answer

A) True 
 B)False

Question 12

The ________ inventory system is designed to maintain a running count of the items in inventory.

Accepted Answer

A) perpetual 
B) ABC 
C) visual control 
D) JIT 
A) perpetual 
B) ABC 
C) visual control 
D) JIT

Question 13

Cash registers should be located so that cashiers have a blocked view of the entire store.

Accepted Answer

A) True 
 B)False

Question 14

Small businesses have had employees steal by putting merchandise in the trash,take it out,and then return to the dumpster and remove it after their shift is over.

Accepted Answer

A) True 
 B)False

Question 15

Because drug addictions drive many employees to steal,employers also should administering drug tests consistently to those employees that are suspicious of wrong doing.

Accepted Answer

A) True 
 B)False

Question 16

A periodic physical inventory count:

Accepted Answer

A) is not necessary if the business owner uses a perpetual inventory control system or has a computerized point of sale (POS)terminal. 
B) typically involves one employee and is done weekly. 
C) allows the owner to evaluate the effectiveness and the accuracy of his/her inventory control system. 
D) is not necessary if the business owner uses an ABC inventory system. 
A) is not necessary if the business owner uses a perpetual inventory control system or has a computerized point of sale (POS)terminal. 
B) typically involves one employee and is done weekly. 
C) allows the owner to evaluate the effectiveness and the accuracy of his/her inventory control system. 
D) is not necessary if the business owner uses an ABC inventory system.

Question 17

A physical inventory count should be taken at least:

Accepted Answer

A) once a week. 
B) once a year. 
C) every six months. 
D) daily. 
A) once a week. 
B) once a year. 
C) every six months. 
D) daily.

Question 18

Carrying unsold inventory from one year to the next is senseless since it represents an investment earning no return and it ties up working capital that could be put to more productive uses.

Accepted Answer

A) True 
 B)False

Question 19

________ inventory systems are designed to maintain a running count of the items in inventory.

Accepted Answer

A) Partial 
B) Physical 
C) Perpetual 
D) ABC 
A) Partial 
B) Physical 
C) Perpetual 
D) ABC

Question 20

The most common method of liquidating slow-moving merchandise is:

Accepted Answer

A) a markdown. 
B) the one-day only sale. 
C) quantity discounts for volume purchases. 
D) an advertising blitz. 
A) a markdown. 
B) the one-day only sale. 
C) quantity discounts for volume purchases. 
D) an advertising blitz.

Exam 18: Managing Inventory

Impulse shoplifters steal on the spur of the moment when they succumb to temptation.

There are a number of different perpetual inventory systems.

When watching for shoplifters,owners should remember that impulse shoplifters tend to work alone while juveniles and professionals work in groups.

The dollar usage volume of an item is how the importance of the item to inventory is measured in an ABC inventory system.

A POS system cannot be combined with the Universal Product Code labels.

Consistent use of the system yields accurate inventory counts at any moment sporadic use creates problems.

As inventory control techniques become increasingly sophisticated and accurate,slow-moving inventory will never be "lost" in the system.

What is JIT II? How does it differ from JIT? What is the importance of those differences?

The ________ shoplifter is often a regular customer,well-respected individual,etc.

The 80/20 rule states that 80% of each sales dollar should be spent on purchases,and the remaining 20% should go towards covering costs and making a profit.

Doing daily inspections of the cash register tape to check for employee theft are of little value since the theft would have already taken place and it would be difficult to trace and prove at that point.

The ________ inventory system is designed to maintain a running count of the items in inventory.

Cash registers should be located so that cashiers have a blocked view of the entire store.

Small businesses have had employees steal by putting merchandise in the trash,take it out,and then return to the dumpster and remove it after their shift is over.

Because drug addictions drive many employees to steal,employers also should administering drug tests consistently to those employees that are suspicious of wrong doing.

A periodic physical inventory count:

A physical inventory count should be taken at least:

Carrying unsold inventory from one year to the next is senseless since it represents an investment earning no return and it ties up working capital that could be put to more productive uses.

________ inventory systems are designed to maintain a running count of the items in inventory.

The most common method of liquidating slow-moving merchandise is:

Entrepreneurs: the Driving Force Behind Small Business

Strategic Management and the Entrepreneur

Choosing a Form of Ownership

Franchising and the Entrepreneur

Buying an Existing Business

Conducting a Feasibility Analysis and Crafting a Winning Business Plan

Creating a Solid Financial Plan

Managing Cash Flow

Building a Guerrilla Marketing Plan

Creative Use of Advertising and Promotion

Pricing and Credit Strategies

Global Marketing Strategies

E-Commerce and Entrepreneurship

Sources of Equity Financing

Sources of Debt Financing

Location,layout,and Physical Facilities

Supply Chain Management

Staffing and Leading a Growing Company

Management Succession and Risk Management Strategies in the Family Business

Ethics and Social Responsibility: Doing the Right Thing

The Legal Environment: Business Law and Government Regulation

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