Page 219 - E1 Integrated Workbook STUDENT 2018
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Supplementary objective test questions
29 Which THREE of the following are advantages of holding large volumes of
inventory?
A The cost of holding inventory is reduced
B Customer orders will always be capable of being fulfilled on time
C Accurate forecasting is less important
D More cash is available to invest elsewhere
E Quantity discounts can be achieved through large orders
30 Match the following decision making system with the appropriate example
of an issue it might be used to address.
System Issue
Executive Information Which overseas country has the greatest sales
system potential
How might small changes to the price of each
Management Information product affect overall sales demand and therefore
system
revenue
How much employee time is available for each
Decision support system
production line
31 Which THREE of the following statements are principles of Taylor’s
scientific management?
A Work processes should be planned to maximise productivity using
scientific principles.
B Employees should be given autonomy to act in the way they feel will
produce the best results.
C Employees should be paid a set salary irrespective of the output they
produce.
D Employees should be selected according to whether they are the most
appropriate for the task or activity required.
E Managers should give detailed instructions to employees
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