APICS CPIM-8.0 Practice Test - Questions Answers, Page 9

A company with stable demand that uses exponential smoothing to forecast demand would typically use a:

The demand for an item has increasing forecast error, whereas all other factors remain constant. Which of the following remains constant while maintaining the same customer service level?

Which of the following benefits typically will be realized when switching from a functional to a cellular layout?

The production plan relates to a firm's financial planning because it is used to:

The most relevant measure of customer service performance Is:

Which of the following items does the master scheduler have the authority to change in the master scheduling process?

One advantage of adopting a supply network perspective Is that it:

In Company XYZ, transaction-costing capability has been Integrated into the shop floor reporting system. A batch of 20 units was started in production. At the fourth operation, 20 units are reported as complete. At the fifth operation, 25 units are reported as complete. When all operations are complete, 20 units are checked into the stockroom. If the error at the fifth operation is undetected, which of the following conditions will be true?

A manufacturer has a forecasted annual demand of 1,000,000 units for a new product. They have to choose 1 of 4 new pieces of equipment to produce this product. Assume that revenue will be $10 per unit for all 4 options.

Which machine will maximize their profit if the manufacturer anticipates market demand will be steady for 3 years and there is no residual value for any of the equipment choices?

Machine Fixed Cost Variable Cost per Unit Annual Capacity

A S100.000 $6 00 800,000 units

B $200,000 $5 50 1.000,000 units

C $250,000 $5 00 1,200,000 units

D $1 000.000 $4 50 1 400.000 units