CIM Technology & Inventory Software 4

Question 1

What is the PRIMARY purpose of a 'goods receipt' transaction in an ERP inventory module?

Accepted Answer

To record the physical arrival and acceptance of inventory into stock

Answer

A goods receipt transaction officially records that purchased items have been physically received and accepted, updating on-hand inventory.

Question 2

Which software capability allows inventory planners to model 'what-if' scenarios such as demand spikes or supplier disruptions?

Accepted Answer

Simulation and scenario planning tools

Answer

Simulation and scenario planning tools let planners test the impact of hypothetical events on inventory levels and supply chain performance.

Question 3

In a perpetual inventory system supported by software, inventory records are updated:

Accepted Answer

After each individual transaction in real time

Answer

Perpetual inventory systems update records after every transaction—receipt, sale, transfer, or adjustment—providing continuous accuracy.

Question 4

A company's inventory software flags an item as 'negative on-hand.' What most likely caused this?

Accepted Answer

A sales order shipped before the receiving transaction was posted

Answer

Negative on-hand inventory typically occurs when outbound transactions (shipments) are recorded before the corresponding inbound receipt is posted.

Question 5

Which feature in inventory management software helps ensure FIFO compliance by directing pickers to the oldest received stock first?

Accepted Answer

Lot tracking with FIFO allocation rules

Answer

Lot tracking combined with FIFO allocation rules directs pickers to the oldest lot first, ensuring proper stock rotation.

(CIM) Certified Inventory Manager Practice Test