Ministry of Education

Al Baha University
Faculty of Administrative
& Financial Sciences
Department: Business
Administration

Course Name: Materials Management(3H)

.Semester: I
Final Exam
.Date: 1437/3/11. Academic Year: 1436-1437
..Exam Duration: 2hours

Examination Instructions

For Instructors Use

Only:
Question
.No

Mark

Write your name and number clearly in the space

above.

No cell phones are allowed during the

examination at any time. You will be held
accountable if you are caught with one.

If you have any problems please just raise your

hand and wait for an invigilator.

You are not allowed to leave the Examination

Hall until at least 30 minutes of the exam has
passed.

Also, in the case of a multiple-choice question, if

you choose more than one answer, then the
professor is free to consider it as a wrong
answer.

You dont have the right to keep your answer

sheet once one of the invigilators tells you to
submit it.

You must completely follow all the instructions

by invigilator; otherwise you will be held
accountable.

Total

PART-A: Multiple Choice Questions

(10x2=20 Marks)

1. Identifying and selecting suppliers is important responsibility of:

(a)marketing department ( b) purchasing department (c) production
department
2. Supplier's technical ability means:
(a) a supplier have a program of product development
(b) a supplier assist in improving the product.
(c) all of the above.

3. Use of more than one supplier for an item is:

2

(a) Multiple sourcing (b) sole sourcing (c) single sourcing

4. The total acquisition cost of an item includes:

(a) The price paid (b) the handling and delivery costs (c) all of the above

5. The implementation and control phase of the production planning and control
system, is:
(a) Purchasing and production activity control
(b) Master production schedule
(c) Material requirement plan.

6. A major input to an material requirements plan MRP system is:

The production plan (b) the capacity plan (a)
The master production Schedule (c)
7. The time span for which plans are made is called the:
(a) time fence( b) planning horizon (c) time bucket

8. Basic concept in TQM:

(a)Focus in the customer (b) supplier partnering (c) all are right

9. Which of the following is a factor is selecting suppliers.

(a) Technical ability ( b) measurement (c) purchasing

10. -------------------is responsible for planning and controlling materials flow :

(a)Materials management (b) marketing management
(c) Production management

PARTB-B: True or False Questions

1. [

(15X1=15 Marks)

] Purchasing function has tremendous potential to increase profit.

2. [

] A good supplier is one that satisfy the buyer's demand of quality,

quantity, delivery ,and price

3. [

] Buyers- suppliers relationship must be close and cooperative.

4. [

] Purchasing departments are in position to take the lead role in reducing

company's environmental impact.
3

5. [

] Purchasing is solely the responsibility of the purchasing department.

6. [

] A set of priority planning techniques for planning component items

below the end item level is called material requirements planning

7. [

] A major input to an material requirements planning MRP system is

the master schedule

8. [

] The time span for which plans are made is called the planning horizon

9. [

] Requesting quotation is a sales order.

10. [

] There is no cost associated with changing production level in chase

strategy.
] In make to stock strategy, manufacturers wait until an order is
received from a customer before starting to make the goods.

11. [
12. [

] 100% inspection means making sample of batch of product and using

it to estimate overall quality.

13. [

] Sampling inspection produce result with 100% accuracy.

14. [

] In the long and short run, manufacturing must devise plans to balance
the demand of the market place with its resources and capacity.

15. [

] Priority relates to what products are needed, how many are needed
and when they are needed.

PART-C: Short Answer Questions

(2x5=10 Marks)

ANSWER ANY TWO QUESTIONS ONLY

1. What are the five categories of the purchasing objectives?

-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------2. What are the major levels in the manufacturing planning and control system?
4

-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------3. Defne the material reguirements plan

-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------4. What is the planning horizon?
-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------PART-D: Fill in the Blank Questions as per the WORDS given below
(5x1=5 Marks):
1. .is the process of buying.

2. ..a written inquiry that send to enough

suppliers to be sure competitive and reliable quotations are received.
3. .is a legal offer to purchase.

4. ...the process of having suppliers provide

goods and services that are previously provided internally.
5. not having the products the customer
wants when they are wanted.
CHOOSE THE CORRECT WORDS BELOW
Purchase order--- Stocking out--- Purchasing---Requesting quotation--- ---Outsourcing
Best wishes
ANSWERS TO MATERIALS MANAGEMENT(3HOURS)
PART-A: Multiple Choice Questions

(10x2=20 Marks)

1.B
2.C
3.A
4.C
5.A
5

6.C
7.B
8.C
9.A
10.C
PARTB-B: True or False Questions

(15X1=15 Marks)

1.T
2.T
3.T
4.T
5.F
6.T
7.T
8.T
9.F
10.F
11.F
12.F
13.F
14.T
15.T
PART-C: Short Answer Questions

1.
2.
3.
4.

(2x5=10 Marks)

answer page(216)----TYPE THE ANSWERS AND SEND BACK TO ALL

answer page ( 79)
answer page( 81)
answer page (79)

PART-D: Fill in the Blank Questions as per the WORDS given below
Purchasing
Requesting quotation
Purchase order
Outsourcing
Stocking out