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APICS CPIM Exam Questions
Certified in Production and Inventory Management (Page 12 )

Updated On: 24-Feb-2026
Page 12 of 119
PDF with 588 Questions

On the average a firm has 10 weeks of work-in-process and annual cost of goods sold is $15 million. Assuming that, the company works 50 weeks a year. What is the dollar value of the work-in-process?

  1. 1,000,000
  2. 1,000,500
  3. 1,500,000
  4. None of these

Answer(s): C



In the above question, if the work-in-process could be reduced to 7 weeks and the annual cost of carrying inventory was 20% of the inventory value, what would be annual saving?

  1. $ 80,000
  2. $ 70,000
  3. $ 90,000
  4. $ 60,000

Answer(s): C



Which of the following is/are included in five major levels in the manufacturing planning and control system?

  1. Strategic business plan
  2. Production plan
  3. Master production schedule
  4. All of these

Answer(s): D



Each level of MPC (Manufacturing planning and control) differs in the following:

Purpose of the plan
Planning Horizon
Level of detail
Planning Cycle

Since each level is:

  1. For different time span
  2. Responsible for satisfying market demand
  3. For different purposes
  4. Both A and C

Answer(s): D



1) What are the priorities-How much of what is to be produced and when?
2) What is available capacity-What resources do we have?
3) How can differences between priorities and capacity be resolved? These questions must be answered:

  1. During material resource planning
  2. During priority planning
  3. At each level of MCP
  4. During capacity planning

Answer(s): C






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