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Update date : 01-Mar-2023
QA: 135
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Updated : 01-Mar-2023
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L4M7 PDF Package

L4M7 PDF Exam (Downloadable)
Latest 2023 Syllabus Topics Included
Updated : 01-Mar-2023
QA : 135
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CIPS L4M7 Exam Dumps - Valid Questions Answers

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L4M7 Questions and Answers

Question # 1

The purchase-order lead time is the...?


Period between receiving a customer order and producing the products


Time needed to correct errors in the defective products


Period between placing an order and its delivery


Period between receiving a customer order and delivering the items

Question # 2

Company XYZ is a candy manufacturer. Company XYZ makes a batch of 1,000 Christmas candy canes that are no longer edible after December 31. Company XYZ is able to sell 750 canes of the batch, but the other 250 are sitting in the warehouse. December 31 comes, and these candy canes is no longer sell-able. The batch of 250 candy canes belongs to which type of inventory?


Obsolete inventory


Buffer stock


Redundant inventory



Question # 3

Which of the following statements is true of just-in-time (JIT) purchasing?


In JIT purchasing, raw materials (or goods) are purchased so that products are delivered just as needed for production or sales


Only disadvantage of JIT purchasing is the higher level carrying and inspection costs


JIT purchasing is guided solely by the EOQ model because that model emphasizes the tradeoff between relevant carrying and ordering costs


In JIT purchasing, the optimal safety-stock level is the quantity of safety stock that minimizes the sum of annual relevant stockout and carrying costs

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