Question 1

a storage location is a key organizational level associated with inventory management

Accepted Answer

true

Question 2

the most relevant category of master data in inventory management is the plant

Accepted Answer

false

Question 3

a goods receipt cannot be posted without a reference to an order

Accepted Answer

false

Question 4

planned receipts occur when a reference document, such as a purchase order or a production order, does not exist

Accepted Answer

false

Question 5

a goods issue results in the creation of appropriate material, FI and CO documents

Accepted Answer

true

Question 6

a goods issue, unlike a goods receipt, can be posted without reference to an order

Accepted Answer

false

Question 7

a goods issue, unlike a goods receipt, results in a decrease in inventory

Accepted Answer

true

Question 8

a transfer posting always involves an actual movement of materials

Accepted Answer

false

Question 9

to change a material number you need to create a change request

Accepted Answer

false

Question 10

in a consignment scenario, when raw materials are consumed in the production process, the status of the materials is changed from warehouse stock to consignment

Accepted Answer

false

Question 11

a stock transfer involves physically moving materials

Accepted Answer

true

Question 12

one-step procedure, two-step procedure, and stock transport order are strategies for moving materials

Accepted Answer

true

Question 13

a material document is created during both the one-step and two-step procedures

Accepted Answer

true

Question 14

during the one-step procedure, two materials documents are created

Accepted Answer

false

Question 15

moving materials between two storage locations within the same plant or different plants is known a storage location to storage location transfer

Accepted Answer

false

Question 16

one-step procedure is possible only when the materials are in unrestricted use at the supplying location

Accepted Answer

false

Question 17

when transferring materials between storage locations in the same plant, if quantities are valued in the same way, then no FI document is created

Accepted Answer

true

Question 18

in plant to plant transfer in the two-step method, the FI document is created at the time of receipt

Accepted Answer

false

Question 19

a movement of materials between two plants in different company codes is called a company code to company code transfer

Accepted Answer

true

Question 20

stock transport orders with delivery include the invoice verification step

Accepted Answer

false

Question 21

in stock transport orders with delivery and billing, valuation is based on the purchase price in the STO

Accepted Answer

true

Question 22

inventory management keeps track of the quantity of materials in storage location, but it cannot determine their exact location

Accepted Answer

true

Question 23

a storage location can be linked to only one warehouse

Accepted Answer

true

Question 24

a storage type is a division of a storage section that is based on the characteristics of the space, materials, or activity

Accepted Answer

false

Question 25

storage sections represent the physical links between IM and WM

Accepted Answer

false

Question 26

shelf storage is an example of a storage type

Accepted Answer

true

Question 27

lightweight materials are designated as fast moving materials

Accepted Answer

false

Question 28

a picking area groups materials with the same material type

Accepted Answer

false

Question 29

storage bins are the smallest unit of space in a warehouse

Accepted Answer

true

Question 30

transfer requirements can be created manually as well as automatically

Accepted Answer

true

Question 31

transfer orders are used to execute warehouse movements

Accepted Answer

true

Question 32

transfer orders can only be created automatically

Accepted Answer

false

Question 33

target quantities, destination storage type, bin, and quant are examples of line item data in a transfer order

Accepted Answer

true

Question 34

transfer orders in the execute warehouse management step can be created with or without a reference document

Accepted Answer

true

Question 35

one of the steps of the inventory management process related to procurement is post goods issue

Accepted Answer

false

Question 36

inventory management in the production process involves a goods issue and a goods receipt

Accepted Answer

true

Question 37

a stock transfer from a storage bin in one warehouse to a storage bin in another warehouse is a possible scenario under which warehouse movements can occur

Accepted Answer

false

Question 38

lack of overall planning may result in excess inventory and lost sales

Accepted Answer

true

Question 39

when a company transfers part of the materials in stock from one distribution center to another this scenario is known as stock out

Accepted Answer

false

Question 40

material planning is one of the most complex processes within an organization

Accepted Answer

true

Question 41

planned orders are requests to produce materials

Accepted Answer

true

Question 42

MRP uses requirements to generate the final procurement proposals

Accepted Answer

true

Question 43

storage area is one of the organizational data elements in material planning

Accepted Answer

false

Question 44

product routings is one of the master data elements in material planning

Accepted Answer

true

Question 45

work scheduling data are defined at the client level

Accepted Answer

false

Question 46

MRP is defined at the plant level

Accepted Answer

true

Question 47

MRP data are specific to each plant

Accepted Answer

true

Question 48

in house production is the most common procurement type for raw materials

Accepted Answer

false

Question 49

semifinished goods are typically purchased from vendors

Accepted Answer

false

Question 50

MRP type specifies the production control technique used in planning

Accepted Answer

true

Question 51

consumption based planning calculates the requirements for a material based on current consumption data

Accepted Answer

false

Question 52

in time phased planning materials are ordered when the stock level reaches a predetermined level known as the reorder point

Accepted Answer

false

Question 53

consumption based planning assumes that future consumption will follow the same patterns as current consumption

Accepted Answer

false

Question 54

in a scenario when the need for brakes depends on the need to produce cars, consumption based planning will be an appropriate strategy to use

Accepted Answer

false

Question 55

typically semifinished goods and raw materials have dependent requirements

Accepted Answer

true

Question 56

the input to MRP is the independent requirement for the finished goods

Accepted Answer

true

Question 57

MPS is a mandatory step in the planning process and is usually followed by MRP

Accepted Answer

false

Question 58

period lot sizing procedures combine the requirement from multiple time periods such as days or weeks, into one lot

Accepted Answer

true

Question 59

for externally procured materials, the planned delivery time and the GR processing time are used to determine procurement time

Accepted Answer

true

Question 60

lot size dependent times remain the same regardless of the amount of the material being procured

Accepted Answer

false

Question 61

the BOM selection method in the material master identifies the criteria the system should use to select the BOM

Accepted Answer

true

Question 62

a BOM is used only in the materials planning process

Accepted Answer

false

Question 63

planning with final assembly takes into consideration current sales orders

Accepted Answer

true

Question 64

when using planning without final assembly components are made to order, and the finished product is made to stock

Accepted Answer

false

SAP ch 7-9 true/false – Flashcards

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