Free Whole Life Asset Management Exam L4M7 Exam Practice Test

Which of the following are subjective forecasting techniques? Select TWO that apply.

• Delphi method
• Test marketing
• Cycle counting
• Pareto principle Weighted moving average

Which of the following are most likely to be the purposes of packing and packaging?1. To bring the product cost down2. To protect the product3. To improve the product recognition4. To test the product durability

• 1 and 2 only
• 3 and 4 only
• 2 and 3 only
• 1 and 4 only

A major investment bank is planning to purchase a complex banking system that will interface with multiple applications at varying times of the day. Before deploying the system, there are various levels of testing that must be performed through joint testing between the in-house team and off-shore testing consultants. The testing will be performed in a resource-constrained shared environment and managed by the on-shore development team. The costs for testing are generally classified as...?

• Insurance
• Maintenance costs
• Acquisition costs
• Purchase prices

The ABC approach involves classifying inventory items by unit cost, with expensive items classi-fied as 'A' items and low cost items classified as 'C' items. Is this statement true?

• Yes, 'A' items represent approximately 20% of total unit prices
• Yes, 'C' items with the lowest unit prices are the tail spends
• No, ABC analysis considers the usage of each inventory item
• No, ABC analysis considers the supply risks associated with an inventory item

Which of the following best describes the relationship between a service level and safety stock?

• A safety stock is not always required to achieve a required service level
• A service level decreases in proportion to a decrease in safety stock
• When safety stock is zero the service level always equals zero.
• A service level increases in proportion to an increase in safety stock

Which of the following is NOT an improvement available in ERP II in compare with ERP?

• ERP II systems are closed and silo-working
• ERP II enables the organisation to collaborate with trading partners across the supply chain
• ERP II crosses all sectors and segments of business, including service, government and asset-based industries
• ERP II offers better integration with other proprietary software

Which of the following statements is true?

• All indirect supplies are independent demand items
• Number of independent demand items may be derived from the forecast
• Dependent demand items are not directly correlated with production rate
• Car engine is an example of independent demand items in a car assembly plant

A supplier delivers large quantities of inventory to its customer's store, but only charges for the goods as and when they are used. This can be described as...?

• Consignment stock
• Components inventory
• Multi-stage inventory
• Multi-echelon stock

PPC Refinery (UK) must close down an out-of-date refinery which has very poor environmental performance. The refinery is very sophisticated with many technically complicated machineries, lubricants, coolants and other chemical substances. Decommissioning the refinery is highly risky and hazardous. To manage the decommissioning process well, PPC project team must know these machineries and substances in details. Which document can provide the technical details on the refinery?

• Original specifications
• Non-disclosure agreement
• Code of Conduct
• Corporate social responsibility policy

Objective forecasting techniques must be based on which of the following?1. Opinions2. Figures3. Facts4. Jugdement

• 3 and 4 only
• 1 and 2 only
• 2 and 3 only
• 1 and 4 only