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APICS Certified in Planning and Inventory Management(Part 2) Sample Questions:

1. In a make-to-order (MTO) environment, inputs to sales and operations planning (S&0P) should include the:

A) finished goods inventory.
B) projected backlog of customer orders.
C) work-in-process (WIP) inventory.
D) available-to-promise (ATP) data.

2. What is the main negative effect of changing the due dates of open orders?

A) The customer service level decreases.
B) The schedule information becomes inaccurate.
C) The schedule does not support demand.
D) It leads to "nervousness" in the schedule.

3. What priority control technique is most appropriate for a firm using a cellular production system?

A) Distribution requirements planning (DRP)
B) Pull production activity control (PAC)
C) Shortest processing time (SPT) rule
D) Push production activity control (PAC)

4. The production plan relates to a firm's financial planning because it is used to:

A) calculate standard product costs.
B) project payroll costs.
C) determine variable costs.
D) identify future cash needs.

5. Which of the following is the fundamental difference between finite loading and other capacity planning approaches?

A) It can use historical information to drive decision-making processes.
B) It is only managed by shop floor supervisors.
C) It is highly dependent on advanced computer software to function effectively.
D) It considers adjustments to plans based on planned capacity utilization.

Solutions: