1. We identified several internal benefits of objectives, goals and a sense of mission. Which is not
included?
a) Basis of plans and decisions
b) Unity of direction
c) Basis to resolve disputes
d) None of the above.
2. Identify the best definition of planning.
a) The core activity of planners and planning departments
b) Setting an organisation's objectives and the means of reaching them.
c) Devising ways of achieving the objectives of an organisation.
d) An integrated process in which plans are formulated, carried out and controlled.
3. Business cycle, price trends, National Economy are ___________
a) Micro Factors
b) Macro Factors
c) Controllable Factors
d) All of these
4. Which is not a part of 5R's of buying?
a) Right Quality
b) Right Quantity
c) Right Source
d) None of the above
5. Buying of the annual requirements of an item during its season.
a) Seasonal Buying
b) Hand to mouth buying
c) Scheduled Buying
d) Tender Buying
6. __________________ is concerned with the branch of economics relating the behavior of principals
and their agents.
a) Financial management
b) Profit maximization
c) Agency theory
d) Social responsibility
7. Corporate governance success includes three key groups. Which of the following represents these
three groups?
a) Suppliers, managers, and customers.
b) Board of Directors, executive officers, and common shareholders.
c) Suppliers, employees, and customers.
d) Common shareholders, managers, and employees.
8. _________________ also called part lists or building lists is the document generated at the design
stage.
a) MRP (Material Requirement Planning)
b) BOM (Bill of Materials)
c) MPS (Master Production Schedule)
d) None of these
9. Purchasing responsibilities can be divided into Buying, Clerical and __________________ division.
a) Packing
b) Traffic
c) Record
d) Follow up
10. ________________________ are the basic materials which have not undergone any conversion
since their receipt from suppliers.
a) WIP
b) Raw Material
c) Finished Parts
d) Work Made Parts