Distribution Management Long Quiz

Which of the following is NOT a principle of inventory management?

• Balancing demand and supply

• Minimizing waste

• Ignoring stock levels

• Cost control

Which inventory control technique focuses on categorizing inventory into high, moderate, and low-value items?

• Economic Order Quantity (EOQ)

• Just-In-Time (JIT)

• ABC Analysis

• Perpetual Inventory System

What does Economic Order Quantity (EOQ) aim to minimize?

• Inventory holding and ordering costs

• Production costs only

• Storage space

• Waste levels

Which inventory system involves updating stock levels in real-time after each sale or restock?

• Periodic Inventory System

• Just-In-Time (JIT)

• Perpetual Inventory System

• ABC Analysis

What is the main goal of the Just-In-Time (JIT) inventory system?

• To hold large amounts of inventory

• To increase stock levels

• To minimize inventory holding costs

• To create additional warehouses

Which of the following inventory control techniques is most suitable for perishable goods?

• Last-In, First-Out (LIFO)

• First-In, First-Out (FIFO)

• ABC Analysis

• Economic Order Quantity (EOQ)

Which principle of inventory management involves maintaining optimal stock levels to meet demand while avoiding excess stock or stockouts?

• Cost Control

• Balancing Demand and Supply

• Inventory Accuracy

• Minimizing Waste

In Lean Inventory Systems, what is the primary objective?

• Increasing inventory levels

• Reducing waste

• Extending lead times

• Creating excess inventory

What inventory control technique involves ordering stock only when it reaches a certain low level to avoid stockouts?

• Reorder Point (ROP)

• Last-In, First-Out (LIFO)

• Perpetual Inventory System

• Economic Order Quantity (EOQ)

Which of the following is NOT a benefit of Just-In-Time (JIT) systems?

• Lower inventory holding costs

• Reduced waste

• Improved cash flow

• Increased reliance on excess inventory