CPPB Inventory Management 3

Question 1

Which inventory document is used to record the official transfer of goods from the storeroom to an end user department?

Accepted Answer

Material Issue Voucher (Stores Requisition)

Answer

Purchase Order

Answer

Receiving Report

Answer

Bid Abstract

Question 2

Surplus property in public procurement is generally defined as:

Accepted Answer

Items no longer needed by one agency that may still have value to others

Answer

Items that exceed the agency's established maximum inventory level

Answer

Items purchased in error that must be returned to the vendor

Answer

Obsolete items that must be immediately disposed of by law

Question 3

The purpose of a stock record card (or item master) in inventory management is to:

Accepted Answer

Maintain a running record of receipts, issues, and balances for each stock item

Answer

Document the competitive bid process for a commodity

Answer

Certify that received goods meet specifications

Answer

Track vendor performance over the contract period

Question 4

Which federal program requires public agencies receiving federal funds to maintain specific records and dispose of surplus equipment according to prescribed procedures?

Accepted Answer

The Uniform Guidance (2 CFR Part 200)

Answer

The Federal Acquisition Regulation (FAR)

Answer

The National Environmental Policy Act (NEPA)

Answer

The Prompt Payment Act

Question 5

An agency's inventory shrinkage is most accurately described as:

Accepted Answer

The difference between recorded inventory quantities and actual physical counts due to loss, theft, or error

Answer

A planned reduction in stock levels at fiscal year end

Answer

The depreciation applied to inventory assets over time

Answer

Stock intentionally withheld to meet emergency needs

Question 6

In the context of public procurement inventory, 'obsolescence' refers to:

Accepted Answer

Items that are no longer useful because of technological changes, policy shifts, or end of program need

Answer

Stock that has exceeded its reorder point without being replenished

Answer

Goods damaged during receiving and inspection

Answer

Inventory stored beyond the vendor's warranty period

Question 7

When evaluating warehouse layout for a public storeroom, the primary principle that should guide shelving and bin placement is:

Accepted Answer

Placing high-turnover items nearest to the receiving and issue points to reduce handling time

Answer

Storing items in alphabetical order by vendor name

Answer

Grouping items by purchase date to facilitate FIFO rotation

Answer

Arranging items by dollar value from highest to lowest