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NEW QUESTION: 1
A manufacturer uses a materials requirements planning 1RP) system to track inventory, orders, and raw material requirements. A preliminary audit assessment indicates that the organization's inventory is understated. Using audit software, what conditions should the auditor search for in the MRP database to support this hypothesis?
I. Item cost set at zero.
II. Negative quantities on hand.
III. Order quantity exceeding requirements.
IV.
Inventory lead times exceeding delivery schedule.
A. I and II only.
B. III and I only.
C. I and I only.
D. II and I only.
Answer: A
Explanation:
If there is no monetary amount in the database for existing inventory, inventory will be understated. Moreover, inadequate edit checks or uncontrolled borrow/paybacks could cause negative quantities to be reported. This condition would cause inventory to be understated. If the amount ordered exceeds requirements, the result is an increase in inventory. However, by itself, this condition would not cause inventory to be understated or overstated. Also, if lead times are longer than delivery times, the effect is an increase in inventory but not necessarily a misstatement.
NEW QUESTION: 2
The link that connects a PC to a switch is ( ).
A. ISL Link
B. Hybrid Link
C. Trunk Link
D. Access Link
Answer: D
NEW QUESTION: 3
Which Service Management Function (SMF) or Operations Management Review (OMR) needs to ensure that the key operational knowledge remains current and accessible to all members of the operations staff?
A. Release Management
B. Workforce Management
C. Operations Review
D. Service Level Agreement (SLA)
Answer: C
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