CIPS Whole Life Asset Management - L4M7 Free Exam Questions

A. The lost contribution margin on sales forgone as a result of customer dissatisfaction due to unavailability of goods

B. The return forgone by investing capital in inventory rather than elsewhere

C. The costs of obsolescence and costs of insurance that change with the quantity of in-ventory held

D. The costs of storage space owned that cannot be used for other profitable purposes when inventories decrease

A. A building which is rented to tenants, usually on a short-term month-by-month basis

B. A large building for storing things before they are sold, used, or sent out to shops

C. A large metal box of a standard design and size used for the transport of goods by road, rail, sea, or air

D. A building that offers value-added services like product mixing, order fulfilment, cross-docking, and packaging

A. the goods do not have to be paid for until the customer uses them

B. the goods are not produced until the customer places a purchase order

C. inventory management is easier as the stock belongs to the supplier

D. it increases the amount of stock that needs to be held by the customer

A. Costs to upgrade electric vehicle charging facilities

B. Sales and marketing costs of the new electric vehicle

C. Decontamination and cleaning costs for site areas

D. Engineering drawing fees for the new electric vehicle designs

A. A parts-only maintenance package

B. A 12-month from purchase warranty package

C. A corrective maintenance package

D. A service and maintenance included package

A. Maintenance costs

B. Purchase prices

C. Insurance

D. Acquisition costs

A. Yes, and that information can only be verified and approved by the suppliers

B. Yes, including other considerations such as the validity and reliability of the information

C. No, the only information determining the accuracy of demand forecasts is extracted from stock issue notes

D. No, considerations such as the skill and objectivity of the forecasters are always more important

A. 1 and 3 only

B. 3 and 4 only

C. 2 and 3 only

D. 1 and 2 only

A. Forecasting demand

B. Classifying products

C. Controlling products

D. Valuing stock

A. Yes, as Amanda will be able to decide the currency exchange rates to be used

B. No, as it will be better to purchase the asset in AB Construction's local currency as it would be efficient and more stable

C. Yes, as AB Construction could pay more for the asset than intended and Amanda should include a currency fluctuation clause

D. No, as the price can be re-negotiated post-contract sign-off by AB Construction and the supplier

A. RFID technology uses barcodes but is not limited by distance from the item location

B. RFID technology can cause a tag collision when numerous tags in the same area respond simultaneously

C. RFID technology can operate in a harsh physical environment

D. RFID technology is very small and holds limited information

E. RFID technology can be detected by both portable and fixed readers

A. Safety stock

B. Reorder point

C. Just-in-time

D. Demand variance

A. Balance between proactive maintenance and reactive maintenance

B. Outsource corrective maintenance but in-source preventative maintenance.

C. Only conduct preventative maintenance

D. Replace every machineries at breakdowns

A. Qualitative, informal, experience-based, or intuitive method

B. Predicted cash flow forecast levels used by the organisation

C. Quantitative, explicit, statistical, or formal method

D. Method of calculating the price in detail within the supply chain