Select right answers of the mcqs

1. If you were a buyer,which of the following statements would support a decision for multiple sourcing?

Group of answer choices

you hold trade secrets that need to be carefully guarded.

the product you needis protected bya patent held by one supplier.

you haveconcerns about your current supplier'scapacity for future growth.

the product you needis difficult to make, highly customizable and unique.

you have anongoing long-term contract with one preferred supplier.

2. The actual demand for Period 1 was 1,000units and the forecasteddemand was 800 units. Given that =0.30, what is the forecasted demand for Period 2 using the exponential smoothing forecasting method?

F_(n+1) = F_n + (D_n - F_n)

Group of answer choices

980

860

1,060

800

1,000

3. Which two of the following are necessary for a valid contract:

I. A description of the scope of work.

II. An offer.

III. A counteroffer.

IV. Legal subject matter and purpose.

4. All of the following are examples of commonly used environmental performance criteriafor buyers to evaluate suppliers except _____.

Group of answer choices

supplier has programs to control or eliminate ozone-depleting substances

supplier has disclosed any environmental infractions

supplier has a formal hazardous and toxic waste reduction program

supplier is a fortune 500 company

supplier has achieved ISO 14000 certification

5. You are a buyer. Seniormanagement has been reviewing financial information and determined that inventory turns mustincrease next period. Assuming sales remain stable, how could you increase inventory turns next period?

Group of answer choices

All of the above.

By negotiating lower prices with suppliers to lower the book value of inventory on hand next period.

By purchasing less inventory for next period.

By selling some of theexcess inventory on hand next period.

By purchasing inventory required next period from a single source supplierthat is able to offer a new lower price for the goods.

6. The supplier selection decision:

Group of answer choices

should be as objective as possible.

is always based on accurate information that is always easy for the buyer to access.

is of no importance to the organization.

is always based on a standard weighted point systemthat must be applied to every purchase and every potential vendor the same way.

should always be based on quantifiable factors such as price and delivery, and must alwaysignore social and political issues.

7. The supplier evaluation process that includes: (1) factors or criteria for evaluation, (2) the importance of each factor, and (3) a system for rating each supplier on each factor, is called a(n):

Group of answer choices

executive roundtable evaluation.

informal evaluation.

qualitative evaluation.

weighted point evaluation.

categorical evaluation.

8. buying safety / buffer stock to cover unexpected increases in demand for materials is an example of this contingency management tool:

Group of answer choices

insurance

inventory

multiple sourcing

use of third-party intermediaries

9. When there are no liens against the goods and no violation of a patent, there is a(n):

Group of answer choices

express warranty.

implied warranty of merchantability.

warranty of title and against infringement.

implicit warranty.

implied warranty of fitness for a particular purpose.

10. If a buyer asks for tires made for winter driving, the seller acknowledges the request and sells the buyer summer tires,the seller has violated:

Group of answer choices

implicit warranty.

warranty of title and against infringement.

implied warranty of merchantability.

implied warranty of fitness for a particular purpose.

express warranty

11. The acts that the agent is directly authorized to perform, come under what type of authority:

Group of answer choices

implied authority.

direct authority.

apparent authority.

implicit authority.

express authority.

12. Use a3-period moving average method to calculate the missing forecasts:

Period	Actual Demand	Forecast
Period 1	50	50
Period 2	60	60
Period 3	70	60
Period 4	20	?
Period 5	60	?

Group of answer choices

period4=40

period5=60

period4=50

period5=75

period4=50

period5=60

period 4=60

period 5 =50

period4=60

period5=60

13. what is the total weightedscore of this supplier?

Criteria	Weight	Score (1-5)	Weighted Score
Pricing	50	5	?
Delivery	30	4	?
Service	20	3	?

Group of answer choices

4.6

430

77

86

100

14. A buyer would likely use reverse price analysis when:

Group of answer choices

The supplier is reluctant to share its internal cost data with the buyer, andthe buyer can reasonablyestimate a breakdown of the supplier's costs.

The supplier is selling a standardized commodity to the buyer in a highly competitive market.

The supplier is reluctant to share its internal cost data with the buyer, andthe buyer has no way toestimate a breakdown of the supplier's costs.

The supplier is more interested in generating revenue to cover its costs than it is interested in making a profit.

The supplier is willing to share all its internal cost data with the buyer.

15. A _____ is one that consistently satisfies the performance and service standards defined by the buyer and responds to unexpected changes.

Group of answer choices

preferred supplier

partnered supplier

certified supplier

disqualified supplier.

sole source supplier