Free CIPS L4M7 Exam Questions

One of the classifications of inventory is referred to as 'indirect supplies.' Which of the following items are examples of indirect supplies in a water bottling plant? Lubricants for maintenance of production machines Computer cartridges for the procurement office Reams of printed labels to stick on water bottles Blue-colored plastic caps to seal the water bottles

Assuming that all other factors are constant except one, the net present value of a capital expenditure increases when...?

An organization might find it more beneficial to lease and use an asset over a predetermined period. After this period, the lessee has the right to secure outright ownership of the asset by paying an agreed amount; otherwise, the asset would be repossessed by the lessor. Which of the following is an advantage of leasing?

Which of the following are critical factors that must be considered when evaluating warehouse or storage locations? The cost of the proposed locationWho owns the storage location or warehouse Access to transport networks The number of windows in the building

Which of the following best describe the function of MRP?