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#L4M7 Paper 10.
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1.
Why would a warehouse manager choose a U-shaped layout?
2.
What is the main purpose of ABC inventory classification?
3.
Which TWO are capital costs in warehouse operations?
1.Installing automated systems
2. Forklift driver salaries
3. Constructing new warehouse
4. Periodic cleaning service
4.
A buyer is reviewing stock replenishment for volatile demand patterns. What inventory approach best addresses this?
5.
Which TWO of the following are advantages of warehouse automation?
1. Reduction in labour errors
2. Increased redundancy in system design
3. Improved speed and accuracy
4. Guaranteed total cost elimination
6.
What is a key risk in cross-docking?
7.
A procurement team is tasked with removing decommissioned equipment that poses chemical hazards. What should they do first?
8.
In which situation would manual stock control still be acceptable?
9.
Which TWO of the following are benefits of ERP systems in asset and inventory management?
1. Real-time visibility
2. Disconnection between warehouse and finance
3. Forecasting capability
4. Manual override in all tasks
10.
Which strategy is used when inventory is held near the customer for faster delivery but managed centrally?
11.
What is the primary purpose of conducting inventory audits?
12.
Which of the following is a key trade-off in JIT inventory systems?
13.
An organisation experiences stockouts due to long supplier lead times. What should they consider?
14.
What kind of cost is associated with stock damage during storage?
15.
Which forecasting technique uses historical sales data to smooth out random demand fluctuations?
16.
Which TWO of the following are disadvantages of outsourcing warehousing?
1. Lower transparency in operations
2. Loss of direct control
3. High internal investment
4. Reduced scalability
17.
Why would a company use consignment stock?
18.
Which TWO of the following would be considered redundant assets?
1.tems no longer usable
2. Items still in warranty
3. Duplicated items not currently needed
4 .Items with low purchase price
19.
Which of the following systems is best suited for real-time location tracking in warehouses?
20.
What is a common reason for inventory inaccuracies?
21.
How does a periodic review system operate?
22.
Which TWO of the following would be considered forecasting inputs?
1. Historical demand
2. Supplier preferences
3. Market trends
4. Internal training records
23.
Why is significant coding important for inventory classification?
24.
A company uses 20% of its SKUs for 80% of revenue. What technique is this principle based
25.
Which of the following scenarios would best justify the use of a lease rather than a hire arrangement?
