Question 1

The document that authorizes the removal of the necessary quantity of raw materials from storeroom to factory is referred to as
A)a bill of materials.
B)a production order.
C)a materials requisition.
D)a move ticket.

Accepted Answer

A materials requisition is a document that authorizes the removal of raw materials from the storeroom to the production department. A bill of materials lists the materials, parts, and components needed to produce a specific product, but it doesn't authorize their removal from the storeroom. A production order is a document that authorizes the production of a specific quantity of a product, but it doesn't specify the raw materials needed. A move ticket is a document that authorizes the transfer of inventory from one location to another, but it doesn't authorize the removal of raw materials from the storeroom. Therefore, the correct answer is C) a materials requisition.

Question 2

The second step in the production cycle is planning and scheduling.One of the methods of production planning is referred to as pull manufacturing.This method is also known as
A)manufacturing resource planning (MRP).
B)just-in-time manufacturing system (JIT).
C)the economic order quantity (EOQ)system.
D)ahead-of-time production implementation (ATPI).

Accepted Answer

Pull manufacturing is also known as just-in-time (JIT) manufacturing system, which focuses on producing goods only as they are needed in the next stage of production or by the customer's demand. This helps to reduce waste, inventory cost, and lead time. Manufacturing resource planning (MRP) is a computer-based system for planning and scheduling production based on demand, inventory, and capacity. Economic order quantity (EOQ) system is a method of inventory management that determines the optimal order quantity to minimize total inventory costs. Ahead-of-time production implementation (ATPI) is not a recognized method of production planning.

Question 3

The operations list shows
A)the labor and machine requirements.
B)the steps and operations in the production cycle.
C)the time expected to complete each step or operation.
D)all of the above

Accepted Answer

The operations list includes all of the above information, including labor and machine requirements, the steps and operations in the production cycle, and the expected time to complete each step or operation.

Question 4

The production planning department develops the master production schedule based on information from several sources.What information is necessary to create this schedule?
A)engineering department specifications and inventory levels
B)engineering department specifications and sales forecasts
C)special orders information and engineering department specifications
D)sales forecasts,special orders information,and inventory levels

Accepted Answer

The master production schedule requires sales forecasts to predict demand, special orders to account for unique customer requests, and inventory levels to ensure adequate stock and resource allocation.

Question 5

The basic activities in the production cycle are
A)product design and production operations.
B)planning,scheduling,and cost accounting.
C)raw materials requisitioning,planning,and scheduling.
D)Both A and B are correct.

Accepted Answer

The basic activities in the production cycle include product design, production operations, planning, scheduling, and cost accounting, which are covered by both choices A and B.

Question 6

Information found on the materials requisition form is based in part on information obtained from which other form?
A)a bill of materials.
B)a move ticket.
C)a production order.
D)a picking list.

Accepted Answer

The bill of materials lists all the components required to produce a specific item, including the quantity of each component needed. This information is used to complete the materials requisition form, which specifies the precise quantities of each component needed for a particular production run.

Question 7

What document authorizes the manufacturing of a product?
A)master production schedule
B)materials requisition
C)move ticket
D)production order

Accepted Answer

A production order is the document that authorizes the manufacturing of a product. It provides details such as quantities, specifications, and instructions for the production process. The other options listed (master production schedule, materials requisition, move ticket) are all related to the production process but do not authorize the manufacturing of a product.

Question 8

The list which specifies the labor and machine requirements needed to manufacture a product is called the
A)bill of materials.
B)bill of lading.
C)master production schedule.
D)operations list.

Accepted Answer

The operations list specifies the labor and machine requirements needed to manufacture a product.

Question 9

A master production schedule is used to
A)develop detailed timetables of daily production and determine raw material purchasing.
B)develop detailed reports on daily production and material usage.
C)develop daily direct labor needs.
D)develop detailed inventory charts.

Accepted Answer

A master production schedule is a plan that outlines production for a specific time period, generally several months. Its purpose is to provide a detailed timetable of when specific products will be produced and how much raw materials will need to be purchased in order to meet demand. Therefore, the best choice is A, as it directly relates to the purpose of a master production schedule. Choices B, C, and D are not as directly related to the purpose of a master production schedule.

Question 10

The form in the production cycle that specifies how much of each product is to be produced during the planning period and when product should begin is the
A)bill of materials.
B)bill of lading.
C)master production schedule.
D)operations list.

Accepted Answer

The master production schedule (MPS) is the form in the production cycle that specifies how much of each product is to be produced during the planning period and when production should begin. The bill of materials (BOM) is a list of the materials and components needed to manufacture a product, the bill of lading is a legal document that details the shipment of goods, and the operations list is a list of the operations required to manufacture a product.

Question 11

Whether a company uses an AIS,ERP,or incorporates some degree of CIM into its production process,it still needs to collect data about four basic facets of its production operations.The facet that impacts the company's human resource cycle the most is
A)the amount of raw material used in a production order.
B)the labor hours expended to complete a production order.
C)the machine operations performed during a production order.
D)the tracking of manufacturing overhead costs incurred for a production order.

Accepted Answer

The labor hours expended to complete a production order have a direct impact on the company's human resource cycle. This includes the number of employees required to work on the production order, their hours worked, and their corresponding wages or salaries. It also affects the company's ability to manage employee schedules, workload, and productivity levels. The amount of raw material used, machine operations performed, and manufacturing overhead costs incurred are important aspects of production operations but do not have as direct an impact on the human resource cycle of the company.

Question 12

The first step in the production cycle is product design.There are several objectives connected with this step.Which objective below is not a product design objective?
A)to design a product that meets customer requirements
B)to design a quality product
C)to minimize production costs
D)to make the design easy to track for cost accounting purposes

Accepted Answer

The objective "to make the design easy to track for cost accounting purposes" is not a product design objective, but rather a cost accounting objective. Product design objectives focus on creating a product that meets customer needs, is of high quality, and can be produced at a reasonable cost.

Question 13

MRP-II and JIT manufacturing systems both plan production in advance.What is the main difference between these two systems?
A)the length of the planning horizon
B)JIT uses long-term customer demand for planning purposes
C)MRP-II relies on EDI
D)There are no differences between the two systems.

Accepted Answer

The main difference between MRP-II and JIT manufacturing systems is the length of the planning horizon. MRP-II plans production based on long-term forecasts and has a longer planning horizon, whereas JIT focuses on short-term customer demand and relies on just-in-time delivery of materials and components. The other options are incorrect, as JIT does not use long-term forecasts or rely on EDI, and there are clear differences between the two systems.

Question 14

A __________ is used to document the subsequent relocation of materials through the factory for manufacturing in process.
A)master production schedule
B)materials requisition
C)move ticket
D)production order

Accepted Answer

A move ticket is a document used to track and authorize the movement of materials through the factory during the manufacturing process. A master production schedule is a forecast of the production requirements, a materials requisition is a document used to request materials from inventory, and a production order is used to initiate production of a specific product.

Question 15

An integral part of the production process is the use of raw materials.One way to enable an AIS to efficiently track and process information about raw materials used in production is to implement __________.
A)a just-in-time inventory system
B)bar coding
C)a materials resources planning inventory system
D)job-order costing

Accepted Answer

Bar coding can be used to track raw materials and their movement during production. It allows for easy and accurate scanning of materials and can be integrated with an AIS for efficient processing of information. Just-in-time inventory system and materials resources planning inventory system are broader inventory management systems and may not focus solely on raw materials. Job-order costing is a cost accounting method used to calculate the cost of producing specific products, but it does not specifically address the tracking and processing of raw material information in an AIS.

Question 16

A __________ authorizes the transfer of raw goods needed for production from the storeroom to the production facilities.
A)master production schedule
B)materials requisition
C)move ticket
D)production order

Accepted Answer

A materials requisition is a document that authorizes the transfer of raw materials or other goods from the storeroom or warehouse to the production department or other areas of the organization where they will be needed. It helps ensure that the necessary materials are available for production, and it also helps control inventory levels and reduce waste. The other options - master production schedule, move ticket, and production order - are also related to production planning and control but do not specifically authorize the transfer of materials.

Question 17

An AIS should be designed to provide timely and accurate information about production cycle activities that impact the other business cycles.One type of information deals with planning and controlling manufacturing costs and evaluating performance.This type of information is called
A)product mix.
B)product pricing.
C)resource allocation.
D)cost management.

Accepted Answer

The type of information described in the question refers to cost management, which involves planning, controlling, and evaluating manufacturing costs. Therefore, the best choice is D: cost management.

Question 18

The second step in the production cycle is planning and scheduling.One of the methods of production planning is referred to as push manufacturing.This method is also known as
A)manufacturing resource planning (MRP).
B)just-in-time manufacturing system (JIT).
C)the economic order quantity (EOQ)system.
D)ahead-of-time production implementation (ATPI).

Accepted Answer

Push manufacturing is also known as manufacturing resource planning (MRP), which involves creating a plan for production based on anticipated demand, available resources, and lead times for obtaining raw materials and supplies. This method is used to ensure that the necessary resources are available, and production can proceed smoothly without delays or interruptions.

Question 19

The AIS compiles and feeds information among the business cycles.What is the relationship between the revenue and production cycles regarding the exchange of information?
A)The revenue cycle provides sales forecast and customer order information to the production cycle,but the production cycle sends information back to revenue about finished goods production.
B)The revenue cycle receives information from the production cycle about raw materials needs.
C)The production cycle sends cost of goods manufactured information back to the revenue cycle.
D)The production cycle does not exchange information with the revenue cycle.

Accepted Answer

The revenue cycle and production cycle are interdependent and exchange information. The revenue cycle provides sales forecast and customer order information to the production cycle, and the production cycle sends information back to revenue about finished goods production. This helps to ensure that production is aligned with demand and that revenue is able to fulfill customer orders effectively.

Question 20

The bill of materials shows the __________ of each product component.
A)part number and description
B)quantity used
C)quantity ordered
D)both A and B

Accepted Answer

The bill of materials typically includes both the part number and description of each product component as well as the quantity of each component used in the finished product. Therefore, option D is the most accurate choice.

Quiz 12: The Production Cycle

The document that authorizes the removal of the necessary quantity of raw materials from storeroom to factory is referred to as

The second step in the production cycle is planning and scheduling.One of the methods of production planning is referred to as pull manufacturing.This method is also known as

The operations list shows

The production planning department develops the master production schedule based on information from several sources.What information is necessary to create this schedule?

The basic activities in the production cycle are

Information found on the materials requisition form is based in part on information obtained from which other form?

What document authorizes the manufacturing of a product?

The list which specifies the labor and machine requirements needed to manufacture a product is called the

A master production schedule is used to

The form in the production cycle that specifies how much of each product is to be produced during the planning period and when product should begin is the

Whether a company uses an AIS,ERP,or incorporates some degree of CIM into its production process,it still needs to collect data about four basic facets of its production operations.The facet that impacts the company's human resource cycle the most is

The first step in the production cycle is product design.There are several objectives connected with this step.Which objective below is not a product design objective?

MRP-II and JIT manufacturing systems both plan production in advance.What is the main difference between these two systems?

A __________ is used to document the subsequent relocation of materials through the factory for manufacturing in process.

An integral part of the production process is the use of raw materials.One way to enable an AIS to efficiently track and process information about raw materials used in production is to implement __________.

A __________ authorizes the transfer of raw goods needed for production from the storeroom to the production facilities.

An AIS should be designed to provide timely and accurate information about production cycle activities that impact the other business cycles.One type of information deals with planning and controlling manufacturing costs and evaluating performance.This type of information is called

The second step in the production cycle is planning and scheduling.One of the methods of production planning is referred to as push manufacturing.This method is also known as

The AIS compiles and feeds information among the business cycles.What is the relationship between the revenue and production cycles regarding the exchange of information?

The bill of materials shows the __________ of each product component.