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ACCA CIA Challenge Exam Questions 306–310 (page: 63)

Updated On: 9-Feb-2026

For an engineering department with a total quality management program, important elements of quality management include all of the following except:

  1. Basing performance evaluations on the number of projects completed.
  2. Comparing results with those of other engineering departments.
  3. Creating a quality council within the engineering department.
  4. Conducting post-project surveys on performance.

Answer(s): A



Refer to the exhibit.



The figure below shows the network diagram for the activities of a large project.
What is the shortest number of days in which the project can be completed?

  1. 21 days.
  2. 22 days.
  3. 27 days.
  4. 51 days.

Answer(s): C



Which of the following is a characteristic of just-in-time inventory management systems?

  1. Users determine the optimal level of safety stocks.
  2. They are applicable only to large organizations.
  3. They do not really increase overall economic efficiency because they merely shift inventory levels further up the supply chain.
  4. They rely heavily on high quality materials.

Answer(s): D



The economic order quantity for inventory is higher for an organization that has:

  1. Lower annual unit sales.
  2. Higher fixed inventory ordering costs.
  3. Higher annual carrying costs as a percentage of inventory value.
  4. A higher purchase price per unit of inventory.

Answer(s): B



What must be monitored in order to manage risk of consumer product inventory obsolescence?

1. Inventory balances.
2. Market share forecasts.
3. Sales returns.
4. Sales trends.

  1. 1 only
  2. 4 only
  3. 1 and 4 only
  4. 1, 2, and 3 only

Answer(s): C



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