CDM Purchasing and Inventory Control 3

Question 1

Which inventory valuation method is MOST practical for a dietary department using daily fresh produce?

Accepted Answer

FIFO

Answer

LIFO

Answer

Weighted average

Answer

Specific identification

Question 2

A group purchasing organization (GPO) benefits a dietary department primarily by providing what advantage?

Accepted Answer

Lower prices through collective buying power of multiple facilities

Answer

Free delivery of all products

Answer

Elimination of the need for receiving inspections

Answer

Automatic inventory management

Question 3

What is the purpose of an ABC analysis in inventory management?

Accepted Answer

Classifying items by value to prioritize management attention

Answer

Alphabetizing inventory items for easier location

Answer

Grading food quality from A to C

Answer

Organizing items by storage location

Question 4

What should a dietary manager do if a delivered product does not meet the written specifications?

Accepted Answer

Reject the product, document the rejection, and notify the vendor

Answer

Accept the product and adjust the recipe

Answer

Accept the product at a reduced price without documentation

Answer

Store the product separately and use it last

Question 5

Which storage practice prevents cross-contamination in a walk-in refrigerator?

Accepted Answer

Storing raw meats on the lowest shelves, below ready-to-eat foods

Answer

Storing all items at the same level for easy access

Answer

Placing raw chicken directly above fresh salad greens

Answer

Storing cleaning chemicals next to food items for convenience

Question 6

What is the advantage of using a prime vendor arrangement for a dietary department?

Accepted Answer

Simplified ordering with one primary supplier handling most product needs

Answer

Guaranteed lowest prices on all items

Answer

No need for written product specifications

Answer

Elimination of all other vendor relationships