What cost is not a cost of holding inventory?

Cost of Purchasing Raw Materials

Which of these is an advantage of JIC?

Buffer stock available to continue production

How does managing supply to match demand benefit a business?

Ensures that stores don’t run out of products, Ensures that businesses don’t have too much stock

Which of these are correct for a supply chain?

Supplier - Manufacturing- Wholesaler- Retailer

What is not a benefit of outsourcing production?

The business has less control of costs, Business has less control of quality

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Inventory and Supply Chain A-Level AQA

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A quiz about Managing inventory and supply chains, made to the AQA spec for A-Level students.

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Questions 14

Answers

1
What cost is not a cost of holding inventory?
Security Costs
Cost of Losing Value
Cost of Purchasing Raw Materials
Opportunity Costs
2
Which of these is not an example of inventory?
Finished Products
Employees
Raw Materials
Stock
3
Outsourcing is when a business uses another provider to produce products.
True
False
4
What is not a factor considered when choosing a supplier?
Dependability of Suppliers
Number of Suppliers Employees
Quality of Materials
Cost of Materials
5
Which of these is an advantage of JIC?
New stock goes straight into production
Buffer stock available to continue production
Less Waste
Less storage required for stock
6
What does Inventory mean?
The number of machinery a business has in its production
Goods that the business holds.
The employees that work for the business
Goods that the business has sold and despatched
7
Where does Lead Time belong?
D
E
A
B
8
How does managing supply to match demand benefit a business?
Ensures that stores don’t run out of products
Ensures that businesses have greater economicies of scale.
Ensures staff members can have longer breaks
Ensures that businesses don’t have too much stock
9
Which one of this is a advantage of JIT?
There is less waste
Higher wasteage due to overstocking
Money tied up in stock is an opportunity cost
There is a buffer stock available to continue production.
10
Opportunity cost is the money invested in producing products that could have been used for something else.
True
False
11
Ethical issues must not be considered when choosing a supplier.
False
True
12
Which of these are correct for a supply chain?
Supplier - Manufacturing- Wholesaler- Retailer
Supplier - Wholesaler - Manufacture - Retailer
Retailer - Manufacturer - Supplier - Wholesaler
Manufacturer - Supplier - Wholesaler - Retailer
13
What is not a benefit of outsourcing production?
The business has less control of costs
It can increase capacity.
Business has less control of quality
Make use of specialist skills.
14
Where does Re-order Level belong?
C
A
E
D

Inventory and Supply Chain A-Level AQA Flashcards | StudBud