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IIBM – Production Planning & Control Answer sheet Q1. Buffer inventory is also called Inventory stock Safety stock Transit stock Buffer stock Q2. Qualitative forecasting is Intrinsic forecast Forecasts that are generated from information that does not have a well-defined analytic structure Based on a random pattern None of the above Q3. Approach of Cycle counting in Inventory management in which the inventory item is likely to be low when new items are received Zone system Transaction system Receiver system Negative system Q4. Total needed quality on week by basis is Net requirements Gross requirement Master Schedule None of the above Q5. Transit inventory is Inventory that is purposely placed between operations to allow them to operate independently of one another Safety stock Inventory in motion from one activity to another None of the above Q6. Controlling the actual activity of making a product or delivering a service is Scheduling Production Activity Control The Pull System None of the above Q7. Drum-buffer-rope is Shipping time buffer Constraint time buffer Assembly time buffer The scheduling system was developed for the theory of constraints and is closely related to a pull system inherent in lean production Q8. A simple visual aid that schedules work according to priority, but also accesses the states of all jobs in order is Total slack Critical ratio Slack per operation Gantt chart Q9. Location of each item has its distinctive location in stockrooms and warehouse Random Zoned random Home base None of the above Q10. Economic models for causal forecasting involves Examining of flow of goods and services throughout the entire economy A statistical analysis of various sectors of the economy Gathering of data for individual products None of the above Part Two: Q1. Write a short note on the Anticipation inventory. Q2. Define “Master production schedule”? Q3. Write a short note on Allocation. Q4. What do you understand by capacity planning? Q5. Determine DRP records for all four warehouses. Q6. What will be the DRP structure for the above four warehouses? Q7. How should the M22 item be handled and why? Q8. Being an inventory manager, what recommendation do you suggest for the inventory store of Ajay Company? Q9. Discuss about inventory management. Explain in detail about Economic order Quantity. Q10. Provide brief about Capacity Requirement Planning. 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