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APICS CPIM Exam Questions
Certified in Production and Inventory Management (Page 20 )

Updated On: 24-Feb-2026
Page 20 of 119
PDF with 588 Questions

The MPS is a plan for manufacturing; it reflects the needs of the marketplace and the capacity of manufacturing and forms a priority plan for manufacturing to follows: The MPS forms a vital link between sales and production as follows:

  1. It makes possible valid order promises. The MPS is a plan of what is to be produced and when. As such, it tells sales and manufacturing when goods will be available for delivery.
  2. It is contract between marketing and manufacturing. It is an agreed- upon plan
  3. Both of these
  4. None of these

Answer(s): C



To maintain the desired level of customer service by maintaining finished-goods inventory levels or by scheduling to meet customer delivery requirements.

1. To make the best use of material, labor and equipment.
2. To maintain inventory investment at the required levels.

These are the objectives of:

  1. MRP
  2. MPR II
  3. MPS
  4. Production plan

Answer(s): C



The step for preparing MPS is/are:

  1. Develop a preliminary MPS
  2. Check the preliminary MPS against available capacity
  3. Resolve differences between the preliminary MPS and capacity availability
  4. All of these

Answer(s): D



Which of the following criteria is used to judge MPS?

  1. Resource use
  2. Customer service
  3. Cost
  4. All of these

Answer(s): D



Suppose company manufactures paint from a base color and adds tints to arrive at the final color. Suppose there are 10 tints and a final color is made by mixing any three of them with the base. There are 70 possible colors (10*9*8=720). Forecasting and planning production for 720 items is a difficult task. It is much easier if:

  1. Production is planned at the level of the base color and the 10 tints. There are then only10 items with which to deal: the base color and each of the 10 tints.
  2. Once a customer's order is received, the base color and the required tints can be combined (assembled) according to the order
  3. MPS is done at the component level
  4. None of these

Answer(s): A,B






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