100% Pass Quiz CIPS - Perfect Exam L5M10 Vce Format

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CIPS Logistics Management Sample Questions (Q21-Q26):

NEW QUESTION # 21
In storing which of the following inventory types are you most likely to see aFIFO (First In, First Out) system? Select TWO.

Answer: B,D

Explanation:
Comprehensive and Detailed Explanation From Exact Extract:
FIFO ensures older stock is issued first, preventing spoilage or expiry. It's essential forperishable goods (food) andtime-sensitive stock(cosmetics). For durable goods, FIFO is less critical.
(Reference:CIPS L5M10 Study Guide, Inventory management methods and systems, p. 13)


NEW QUESTION # 22
Yolo Inc. is a low-cost manufacturer with tight margins. To remain profitable, logistics must help reduce costs. Which transportation strategy best supports this aim?

Answer: A

Explanation:
Comprehensive and Detailed Explanation From Exact Extract:
Cost-leadership logistics requires efficiency in inbound and outbound flows. Managing inbound logistics using KPIs (e.g., vehicle turnaround time, delivery reliability) reduces time waste and unnecessary costs.
Annual tenders or branding efforts do not guarantee cost reduction. (Reference:CIPS L5M10 Study Guide,
"Cost as a business strategy," p. 53)


NEW QUESTION # 23
Claudio uses aRe-Order Point (ROP)system for stock replenishment. What is one disadvantage compared with an MRP system?

Answer: D

Explanation:
Comprehensive and Detailed Explanation From Exact Extract:
ROP systems trigger replenishment when inventory hits a set minimum. They are reactive and do not account for forecasted changes in demand (e.g., seasonality). MRP, by contrast, is proactive-factoring in future demand forecasts and production schedules.
(Reference: CIPS L5M10 Study Guide, Re-Order Point systems and limitations, pp. 170-171)


NEW QUESTION # 24
In transportation terminology, what type of cargo would be considered "less than carload" (LTC)?

Answer: A

Explanation:
Comprehensive and Detailed Explanation From Exact Extract:
"Less than carload" refers to rail freight shipments smaller than a full railcar load (i.e., not filling an entire rail carriage). The term relates to railway "cars," not road vehicles. (Reference: CIPS L5M10 Study Guide, transport terminology-LTC/LCL/FTL, p. 6)


NEW QUESTION # 25
The "Net Promoter Score" (NPS) provides a company with an indication of customer satisfaction by answering which question?

Answer: C

Explanation:
Comprehensive and Detailed Explanation From Exact Extract:
NPS is a single-question metric asking customers how likely they are to recommend the product/service to others (typically on a 0-10 scale). It is widely used as a proxy for loyalty and satisfaction. (Reference: CIPS L5M10 Study Guide, customer satisfaction measures-NPS, p. 62)


NEW QUESTION # 26
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