RELIABLE CIPS L4M7 TEST SAMPLE | L4M7 EXAM QUIZZES

Reliable CIPS L4M7 Test Sample | L4M7 Exam Quizzes

Reliable CIPS L4M7 Test Sample | L4M7 Exam Quizzes

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DumpsKing has many CIPS Whole Life Asset Management (L4M7) practice questions that reflect the pattern of the real CIPS L4M7 exam. DumpsKing allows you to create a CIPS Whole Life Asset Management (L4M7) exam dumps according to your preparation. It is easy to create the CIPS Whole Life Asset Management (L4M7) practice questions by following just a few simple steps. Our L4M7 exam dumps are customizable based on the time and type of questions.

CIPS Whole Life Asset Management Sample Questions (Q229-Q234):

NEW QUESTION # 229
A manufacturer has discovered that some of the stock in its storeroom is obsolete, and now wishes to take the appropriate action. Should the manufacturer write the stock off?

  • A. Yes, as it has no value it must be written off
  • B. Yes, this will increase the sales for the period
  • C. No, the best approach would be to leave the stock where it is
  • D. No, it should be included with the closing stock

Answer: A

Explanation:
Writing off obsolete stock is standard practice as it no longer holds any value for the organization. This allows for accurate financial reporting by removing items that cannot be sold or used from the balance sheet.
Including it in closing stock would misrepresent asset values, while leaving it unsorted wastes valuable space.
Whole-life asset management emphasizes disposal or recycling options to avoid holding costs for unused assets, reducing storage costs and improving warehouse efficiency.


NEW QUESTION # 230
The selection of the correct type of material handling equipment is important. If the width of the gangway between the racking in a warehouse is 2.4 meters (8 feet), what type of material handling equipment would be suitable?

  • A. Counterbalance forklift truck
  • B. Reach truck
  • C. Hand pallet truck
  • D. Narrow aisle forklift truck

Answer: D


NEW QUESTION # 231
What is the different between gross material requirements plan (gross MRP) and a net material requirements plan (net MRP)?

  • A. The gross requirement doesn't take taxes into account, whereas the net requirement includes the tax considerations
  • B. The gross MRP includes consideration of available inventory, whereas the net MRP does not
  • C. The net MRP includes the amount of inventory on hand, whereas the gross MRP does not
  • D. The gross MRP is mostly paper-based, but the net MRP must be computerised

Answer: B

Explanation:
Material requirement planning (MRP) is a production planning and material (inventory) control system used in manufacturing. Objectives of MRP are to ensure materials are available for production while minimising inventory and to plan production and procurement activities.
MRP software combines the master production schedule, the bill of materials and the inventory information to work out the net requirements (net MRP) of what to purchase or produce and when.
These net requirements are worked out using the following equation:
Net requirements = Total requirements - Available inventory
Where:
Total requirement = Gross requirements (gross MRP)
Available inventory = Inventory on hand + Units on order
In the other words, Gross MRP = Net MRP + Available inventory, so the answer should be "The gross MRP includes consideration of available inventory, whereas the net MRP does not" LO 2, AC 2.3


NEW QUESTION # 232
Which of the following lists all components, ingredients, and materials required to produce the final product?

  • A. Master schedule
  • B. Purchase order
  • C. Bill of materials
  • D. Engineering change notice

Answer: C

Explanation:
Master production schedule (MPS) plans items that have "direct" demand, or "independent de-mand." With independent demand, the demand comes from sales orders, service orders, or fore-casts, and the demand comes directly from customer-or forecasted-requirements. It is the list that provides the timing of the production schedule and shows how much each machine can produce, how many shifts are used, etc.
A bill of materials (BOM) is a comprehensive inventory of the raw materials, assemblies, subas-semblies, parts and components, as well as the quantities of each, needed to manufacture a product.


NEW QUESTION # 233
Which of the following would be an impact of low stock in the supply chain?
* Warehouse space would all be full with excess stock
* There may be delays and higher costs to fulfill supply
* Stock may not be available at times of high demand
* Lead times would reduce and purchase costs would fall

  • A. 2 and 4 only
  • B. 2 and 3 only
  • C. 1 and 4 only
  • D. 1 and 3 only

Answer: B

Explanation:
Low stock levels can lead to:
* Delays and higher fulfillment costs: When stock is insufficient, emergency orders and expedited shipping may be necessary, increasing costs.
* Stockouts during high demand: Insufficient inventory can lead to missed sales opportunities, negatively impacting customer satisfaction.
Whole-life asset management seeks to balance inventory levels to avoid stockouts while minimizing holding costs.


NEW QUESTION # 234
......

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