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APICS Certified Supply Chain Professional Questions 677–698 (page: 51)

Updated On: 1-Feb-2026

The primary objective of inventory planning is to determine:

  1. when to order and how much to order.
  2. required inventory levels per warehouse location.
  3. ideal layout of a warehouse.
  4. inventory carrying costs.

Answer(s): A



What emerging supply chain trend can mitigate risk from tariff wars between countries?

  1. Digitalization
  2. Sustainability
  3. Regional sourcing
  4. Trusted networks

Answer(s): C



Which of the following statements best represents a supply chain approach to cost accounting using the theory of constraints (TOC)?

  1. It tends to only focus on the actual running costs of the constraint.
  2. It forces cost reduction efforts on all operations because they all may become constraints.
  3. It tends to not allocate overhead to costs, making the accounting closer to cash flow.
  4. It tends to view all costs of poor quality as sunk costs for the entire operation.

Answer(s): B



Advanced planning and scheduling (APS) generates optimal solutions primarily through the use of:

  1. linkages to the master production schedule (MPS).
  2. linear programming and related mathematical models.
  3. real-time demand and inventory data.
  4. process flow analysis.

Answer(s): B



Which of the following statements is true of Incoterms®?

  1. They are required contract terms for international trade.
  2. Each term implies the responsibilities of the buyer and seller.
  3. Discounts and surcharges are identified by the terms.
  4. The terms are reviewed annually by the International Chamber of Commerce.

Answer(s): B



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