Tuesday, October 25, 2011

Material Management Quiz - 1

1. Conformance to ________ is checked against component drawings.
[C]Supply Chain

2. The inventories which refer to the maintenance, repair and operation supplies which are consumed during process of manufacturing but do not become part of the product is
[C]MRO inventories

3. Import substitution in reality should be looked upon as "Import avoidance"

4. Deterioration & Obsolescence cost are similar.

5. Customs duty is charged on the imported goods as per ________.
[A]RBI Rules
[B]EXIM Rules
[C]GOI Rules
[D]Customs tariff rules

6. In a contract buyer has right to all except
[A]Examine the goods
[B]Reject the goods delivered in wrong quantity
[C]Sue for interest of buyer
[D]Reject non conforming goods

7. ________ of the department refers to the placement of the department in the structure of the company.

8. Purchasing policies are implemented by framing procedures and rules.

9. Black bituminous paint should be applied to rubber parts.

10. The following actions would help to improve effectiveness of materials planning except
[A]Accurate forecasting
[B]Increase in lead time
[D]Shorter materials plan period

11. OEM discount is given by the supplier with a view to widen customer's base.

12. A buyer gives wrong idea to his supplier about his requirements or show a fictitious figure to get some price discount is called as
[A]Misrepresentation of facts
[B]Inflated Report
[C]Incorrect estimation
[D]Normal practice to get discount

13. Purchasing and procurement cost reduction is possible through all of the following except
[A]Blanket orders
[B]Green purchasing
[C]System contracting
[D]Normal order

14. ________ department in almost all companies is the biggest spending department and the custodian of company's purse.

15. ________ find their use in identification of raw materials, lubricants, pipelines etc.
[A]Colour codes
[B]Bar codes
[C]System codes
[D]Process codes