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Worksheets

SESSION 2 2022/2023

Total questions: 20

Worksheet time: 20mins

Name
Class
Date
1.

The movement of products through the supply chain until they reach the customer is called:

a)

Retailing

b)

Distribution

c)

Transportation

d)

Manufacturing

2.

The ideal transport method for fluids is:

a)

Road transport

b)

Railway transport

c)

Water transport

d)

Pipeline

3.

Which pricing strategy requires each customer to pay the exact freight from the factory to their location?

a)

Zone pricing

b)

Base-point pricing

c)

FOB origin pricing

d)

FOB destination pricing

4.

Which of these is NOT considered inventory?

a)

Finished items for sale

b)

Components for production

c)

Raw materials

d)

Machinery and equipment

5.

This type of stock helps businesses avoid shortages and price hikes:

a)

Seasonal stock

b)

Safety stock

c)

Deadstock

d)

Speculative stock

6.

Inventory risk cost arises from:

a)

Obsolete goods held for a long time

b)

Capital tied up in inventory

c)

Moving the product in and out of inventory

d)

High insurance costs for loss or damage

7.

Tax on inventory value is referred to as:

a)

Capital cost

b)

Storage space cost

c)

Inventory service cost

d)

Inventory risk cost

8.

Warehouses that support customer demands during peak seasons offer:

a)

Spot-stocking

b)

Full-line stocking

c)

Value-added service

d)

Seasonal stocking

9.

A bonded warehouse stores goods until:

a)

Payment by the customer

b)

Payment of customs duties

c)

Customs inspection

d)

Seller pickup

10.

The goal of a smart warehouse using technology is:

a)

To increase production cost

b)

To increase production units

c)

To reduce system reliability

d)

To improve inventory accuracy

11.

Transportation is vital as products are rarely produced and consumed in the same location.

a)

True

b)

False

12.

The best cargo for air travel has a high cost-to-weight ratio.

a)

True

b)

False

13.

Transportation documentation can provide legal recourse if issues arise.

a)

True

b)

False

14.

The Bill of Lading (BoL) is an invoice submitted by the carrier for payment.

a)

True

b)

False

15.

Inventory managers decide on supply chain operations to meet customer needs.

a)

True

b)

False

16.

Cycle stock is emergency inventory held by a company.

a)

True

b)

False

17.

Inventory carrying costs due to obsolescence are known as storage space costs.

a)

True

b)

False

18.

Warehousing involves storing physical inventory for sale or distribution.

a)

True

b)

False

19.

Agricultural fertilizers are examples of spot-stocking services in warehouses.

a)

True

b)

False

20.

Public warehouse operations provide economies of scale by sharing resources.

a)

True

b)

False