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APICS CPIM-8.0 Exam Syllabus Topics:
Topic
Details
Topic 1
Topic 2
Topic 3
APICS Certified in Planning and Inventory Management (CPIM 8.0) Sample Questions (Q224-Q229):
NEW QUESTION # 224
A webmaster has repeatedly used the same certificate sign request to renew an organization's website Secure Sockets Layer (SSL) certificate. What is the MOST significant increased risk for the organization?
Answer: D
NEW QUESTION # 225
Which of the following methods places a replenishment order when the quantity on hand falls below a predetermined level?
Answer: A
Explanation:
Fixed order quantity is a method that places a replenishment order when the quantity on hand falls below a predetermined level, called the reorder point. The reorder point is calculated based on the expected demand during the lead time and the safety stock. The order quantity is fixed and constant, and it is determined by the economic order quantity (EOQ) formula or other criteria. Fixed order quantity is also known as the order point
/order quantity (OP/OQ) system or the continuous review system.
Option A is not correct, because min-max system is a method that places a replenishment order when the quantity on hand falls below a minimum level, called the order point. The order quantity is variable and depends on the difference between the maximum level and the current inventory level. Min-max system is also known as the two-bin system or the bin system.
Option C is not correct, because periodic review is a method that places a replenishment order at fixed intervals of time, regardless of the quantity on hand. The order quantity is variable and depends on the difference between the target inventory level and the current inventory level. Periodic review is also known as the fixed order interval (FOI) system or the periodic order quantity (POQ) system.
Option D is not correct, because available-to-promise (ATP) is not a method of inventory replenishment, but a calculation of the uncommitted portion of the current inventory and planned production. ATP is used to promise delivery dates to customers based on the availability of inventory and production capacity.
:
Inventory Management and Control
Inventory Replenishment Methods
Inventory Replenishment Policies
NEW QUESTION # 226
A warehouse manager assigns orders to warehouse personnel grouped by where the goods are stored. This type of picking is called a(n):
Answer: B
Explanation:
The zone picking system divides the warehouse into different areas or zones. Each worker is assigned to a zone, and they pick only items stored within their assigned zones. This improves efficiency, especially in large warehouses with significant SKU counts.
"Zone picking involves assigning workers to specific zones within a warehouse, where they are responsible for picking items only from their designated zone."
- CPIM DSP Study Guide - Warehouse Picking Strategies
NEW QUESTION # 227
For a company that uses first in, first out (FIFO) inventory accounting, the actual use in production of a recently arrived shipment of more expensive components rather than lower-cost components previously received will have which of the following results?
Answer: A
Explanation:
FIFO inventory accounting assumes that the first items purchased or produced are the first ones sold or used. Therefore, the cost of goods sold reflects the oldest costs of inventory. If a company uses a more expensive shipment of components instead of the lower-cost ones that were previously received, it will increase the cost of goods sold and reduce the gross profit margin. This is because the newer components have a higher unit cost than the older ones, and the cost of goods sold is calculated by multiplying the unit cost by the number of units sold or used. Reference:
* CPIM Part 1 Exam Content Manual, page 17, section 3.2.1: "Explain the impact of inventory valuation methods (for example, first in, first out [FIFO], last in, first out [LIFO], average cost, standard cost) on financial statements and taxes."
* CPIM Part 1 Study Guide, page 63, section 3.2.1: "The FIFO method assumes that the first goods purchased or produced are the first goods sold. The cost of goods sold is based on the oldest costs, and the ending inventory is based on the most recent costs. The FIFO method results in a higher net income and a higher ending inventory value in a period of rising prices."
NEW QUESTION # 228
A company's primary performance objective Is flexibility. Which of the following measurements is most important?
Answer: D
Explanation:
Flexibility is the ability of a process or system to adapt to changes in customer demand, product mix, or production volume. A flexible process can respond quickly and efficiently to these changes, minimizing disruptions and costs. One of the key measurements of flexibility is machine changeover time, which is the time required to switch a machine or equipment from producing one type of product to another. A shorter machine changeover time means a higher level of flexibility, as the process can accommodate different products or orders without wasting time or resources. This aligns with CPIM's focus on plan, manage, and execute detailed schedules and manage quality, continuous improvement, and technology. Reference: The concepts are covered in detail in Module 5: Detailed Scheduling and Planning (1 and Module 6: Quality, Continuous Improvement, and Technology (2. You can also find more information about flexibility and machine changeover time from these sources: 3, 4, and 5.
NEW QUESTION # 229
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