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Whole Life Asset Management

Last Update Dec 7, 2023
Total Questions : 135

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Whole Life Asset Management Questions and Answers

Questions 1

One of the important outputs of an MRP system is the material requirement plan. This plan shows the net requirements for materials or components to make the final product. Which of the following best describes the net material requirements?



Gross requirements + on-order - Inventory on-hand


On order + Inventory on-hand


Total requirements - order releases + amount on-hand


Gross requirements - Inventory level - Scheduled receipt

Questions 2

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

Questions 3

Which of the following is the core idea of Lean manufacturing?



New product development


Waste elimination


Improving response to erratic demand


Business Continuity Planning