CSCP APICS Exam Questions and Free Practice Test

Question 19

- (Topic 3)
Which of the following actions by trading partners is most likely to reduce the goods that will be processed by the reverse supply chain?

A. Contracting with a third party to process returned goods

B. Designing products that are easy to disassemble

C. Working to delay regulations that require accepting returns

D. Providing support and service that meet customer needs

Correct Answer:D

Question 20

- (Topic 3)
A company recently implemented a new supplier rating system. Data was collected from the enterprise resources planning system about each vendor's rating for cost, quality, and delivery over 12 months. A cutoff point was established for poor performers. The responsible purchasing agent then scheduled meetings with each supplier. Which of the following actions is most appropriate to take with suppliers whose ratings were below the cutoff point?

A. Discuss ways to raise the ratings for the next review period.

B. Tell the suppliers they are on probation for 3 months.

C. Immediately cancel outstanding contracts with those suppliers.

D. Ask the suppliers to explain the poor performance.

Correct Answer:A

Question 21

- (Topic 3)
A company is beginning the process of defining market segments for its products and services. The most appropriate objective for this undertaking would be to identify groups of customers with similar:

A. geographical locations.

B. buying power.

C. revenue potential.

D. service requirements.

Correct Answer:D

Question 22

- (Topic 3)
A company that desires to implement a strategy for inventory management must define which of the following factors?

A. Reliability and maintainability requirements

B. Variability in the customer demand

C. Overall item effectiveness

D. Inventory carrying costs

Correct Answer:B

Question 23

- (Topic 3)
The lowest-cost supply network design requires balancing inventory costs and which of the following types of costs?

A. Administrative

B. Manufacturing

C. Transportation

D. Sales and marketing

Correct Answer::C

Question 24

- (Topic 3)
Which of the following statements is true when a contract manufacturing agreement is implemented?

A. There is no longer a need for material requirements planning.

B. The total cost of acquiring products will decrease.

C. Communications and project management are key factors for success.

D. Assets on the contract manufacturer's balance sheet typically will decrease.

Correct Answer:C

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