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Certification in Logistics, Transportation and Distribution Questions 71–75 (page: 16)

Updated On: 9-Feb-2026

Which of the following factors would be the greatest challenge for a firm planning to ship goods internationally by truck?

  1. Variable cost of fuel
  2. Unpredictable weather and climate
  3. Variations in road conditions
  4. Complex rules and regulations

Answer(s): D



Net advantages gained by the sharing of common locations by similar enterprises is based on which of the following terms?

  1. Agglomeration
  2. Lowest cost
  3. Differentiation
  4. Free market

Answer(s): A



Which of the following groups was formed for the purpose of eliminating the trade barriers among its members?

  1. United nations (UN)
  2. European Union (EU)
  3. Organization of Petroleum Exporting Countries (OPEC)
  4. North Atlantic Treaty Organization (NATO)

Answer(s): B



A company wishes to ship large quantities via ocean freight, utilizing the entire vessel capacity. The most appropriate contract of carriage to use a:

  1. bill of loading (B/L).
  2. wet lease.
  3. charter party.
  4. letter of credit.

Answer(s): C



Which of the following is normally within the logistics function of a manufacturing organization?

  1. Production management
  2. Financial management
  3. Warehouse management
  4. Marketing management

Answer(s): B



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