APICS CLTD Online Practice Questions and Exam Preparation

APICS CLTD Online Questions & Answers

• Question 21:

  A company has a need to ship some high-volume products. Which of the following classifications would be best to use for this costing?

  A. Freight-all-kind (FAK) rates
  B. Exception rates
  C. Minimum joint rates
  D. Density rates
  D. Density rates

• Question 22:

  The greatest risk of aggregating product families at too high of a level for sales and operations planning (SandOP) is that:

  A. it will be more difficult to reconcile the sales plans with the business plan.
  B. imbalances between the demand plan and resources may not be visible.
  C. the resource planning process will be more complicated.
  D. the sales forecasts will not be as accurate for the larger product families.
  B. imbalances between the demand plan and resources may not be visible.

• Question 23:

  The term used to describe the charges and fees applied when rail freight cars and ships are held beyond the agreed-upon contract terms is known as:

  A. detention.
  B. claims.
  C. accessorial charges.
  D. demurrage.
  D. demurrage.

• Question 24:

  Which of the following terms of payment should an international purchasing manager use to guarantee that the shipment is made and the shipper gets paid for their product?

  A. Letter of credit
  B. Open account
  C. Sight draft
  D. Cash in advance
  A. Letter of credit

• Question 25:

  Which of the following attributes best represents how an organization regards the relationship between the cost of lost sales and inventory costs?

  A. Willingness to spend increasing amounts on inventory to decrease lost sales at a greater rate
  B. Willingness to spend increasing amounts on inventory but expect only minor changes in lost sales
  C. Unwillingness to spend increasing amounts on inventory because they see no correlation between inventory costs and the cost of lost sales
  D. Unwillingness to spend increasing amounts on inventory even though they understand that an inverse relationship exists between inventory costs and the cost of lost sales
  B. Willingness to spend increasing amounts on inventory but expect only minor changes in lost sales

• Question 26:

  Procurement professional are focused on the total cost of ownership (TCO) in their vendor selection strategies. This implies that:

  A. procurement is now increasingly charged with pushing back inventory to vendors.
  B. there is increased consideration of trade-offs among purchase price, quality, and vendor capability.
  C. procurement is decreasing its emphasis on the importance of vendor certification and audit programs.
  D. there is increased emphasis on procuring at the lowest purchase price possible.
  B. there is increased consideration of trade-offs among purchase price, quality, and vendor capability.

• Question 27:

  Which of the following outcomes is a potential advantage of operating an efficient reverse logistics process?

  A. Provides competitive differentiation
  B. Enables visibility throughout the supply chain
  C. Improves the product life cycle
  D. Reduces transportation costs
  A. Provides competitive differentiation

• Question 28:

  After service disruption, which of the following sets of items needs to be included in a service recovery plan?

  A. Measuring the cost of poor service, anticipating the needs for recovery, acting fast, and empowering and training employees
  B. Maintaining adequate inventories, engaging freight companies for expedited services, and encouraging customers to carry more buffer stock
  C. Having emergency staffing plans, empowering employees, acting fast, and carrying additional inventories, and measuring the cost of poor service
  D. Anticipating the needs for recovery, acting fast, training employees, and encouraging customers to carry more buffer stock
  A. Measuring the cost of poor service, anticipating the needs for recovery, acting fast, and empowering and training employees

• Question 29:

  What is the primary value-added service that a company would receive from using land-bridge services?

  A. Reduced risk
  B. Reduced transit time
  C. Increased reliability
  D. Increased capacity
  B. Reduced transit time

• Question 30:

  A service organization is planning to enter into a foreign market and is willing to share its intangible assets. These assets include process expertise, training, and methods of operations. Which of the following entry methods is most suitable for this organization?

  A. Licensing
  B. Joint venture
  C. Partnering
  D. Franchising
  C. Partnering