MCQs of Inventory Control (Operation Research - 2171901)

Showing 11 to 20 out of 36 Questions

11.

One of the important basic objective of Inventory management is

(a)	to calculate EOQ for all materials in the organization.
(b)	to go in person to the market and purchase the materials
(c)	to employ the available capital efficiently so as to yield maximum results
(d)	once materials are issued to the departments, personally check how they are used

12.

The stock of materials kept in the stores in anticipation of future demand is known as

13.

Materials management bring about increased productivity of capital by

(a)	very strict control overuse of materials
(b)	increasing the efficiency of workers,
(c)	preventing large amounts of capital locked up for long periods in the form of inventory
(d)	to apply the principles of capital management

14.

We can reduce the materials cost by

(a)	using systematic inventory control techniques
(b)	ordering the material as and when the need arises
(c)	by ordering in bulk quantities
(d)	ordering the material at fixed interval irrespective of need

15.

The basis for ABC analysis is

(a)	interests of Materials manager
(b)	interests of the top management
(c)	Pareto’s 80-20 rule
(d)	None of these

16.

ABC analysis depends on the

(a)	Quality of materials
(b)	Cost of materials
(c)	Quantity of materials used
(d)	Annual consumption value of materials

17.

‘A’ class materials consumes

(a)	10 % of the total annual inventory cost
(b)	30% of the total annual inventory cost
(c)	70 to 75% of the total inventory cost,
(d)	90% of the total annual inventory cost

18.

‘B’ class of materials consumes ---------% of annual inventory cost

19.

‘C’ class materials consume _________ % of annual inventory cost.

20.

The rent for the stores where materials are stored falls under

Showing 11 to 20 out of 36 Questions