Free Online CIPS L4M7 Practice Test

Prepare Your CIPS L4M7 Exam Questions with Free online L4M7 Practice Test. Get Brilliant Whole Life Asset Management Exam Results with Valid L4M7 Exam Dumps.

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Total 160 Questions | Updated On: May 14, 2024

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Question 1

The following are examples of scheduled maintenance except...

A : Cleaning of tank

B : Repair signage damage from a recent storm

C : Overhauling of machine

D : Oil changes and regular servicing

Answer: B

Question 2

The manufacturer wants to significantly increase the stock to meet seasonal demand, but they have limited resources. Which of the following could satisfy their wishes?

A : Consolidate deliveries

B : Bulk ordering

C : Variety reduction

D : Consignment stock

Answer: D

Question 3

A manufacturer aims at increasing the service levels to 99% from 97% through expanding the safety stock. Safety stock can be used to accommodate which of the following?

1. Variability of stock turn

2. Variability of holding costs

3. Variability of demand

4. Variability of lead time

A : 3 and 4 only

B : 1 and 2 only

C : 2 and 4 only

D : 1 and 3 only

Answer: A

Question 4

The minimal total cost is always achieved when there is only one warehouse. Is this statement true?

A : Yes, because the operation cost for warehouse reaches minimal level

B : No, more warehouses will reduce the cost of storage

C : Yes, because warehouse overheads are fully utilised

D : No, fewer warehouse may lead to increasing transport costs

Answer: D

Question 5

XYZ Ltd is looking for new office space overseas. To keep the overhead expense minimal, it chooses leasing rather than purchasing new office. In leasing contract, which of the following costs are most likely to be attributable to the lessee?

1. Disposal costs

2. Rentals

3. Operating costs

4. Vendor selection costs

A : 1, 3 and 4

B : 1, 2 and 3

C : 2, 3 and 4

D : 1, 2 and 4

Answer: C

Page: 1 / 32

Total 160 Questions | Updated On: May 14, 2024

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