Walmart Asessment Inventory and Store Operations 2 — Questions and Answers
Question 1: What is 'shrinkage' in retail terms?
- Products that have been downsized by the manufacturer
- Loss of inventory due to theft, damage, or administrative error (Correct answer)
- Products that expire and are removed from shelves
- Reduction in store hours
Correct answer: Loss of inventory due to theft, damage, or administrative error
Shrinkage refers to inventory loss from shoplifting, employee theft, damage, and record-keeping errors.
Question 2: What is the benefit of scanning items when receiving a shipment?
- It speeds up unloading
- It ensures inventory records are updated accurately and discrepancies are caught early (Correct answer)
- It allows customers to see new arrivals faster
- It satisfies the delivery driver's paperwork
Correct answer: It ensures inventory records are updated accurately and discrepancies are caught early
Scanning items during receiving verifies the shipment matches the order and updates inventory automatically.
Question 3: What does 'overstock' mean in retail?
- A product with too high a price
- Excess inventory beyond what is needed or can be stocked on the floor (Correct answer)
- Items that have been ordered twice
- Products available only online
Correct answer: Excess inventory beyond what is needed or can be stocked on the floor
Overstock is inventory that exceeds floor capacity or current demand and is often stored in the back room.
Question 4: Why is it important to rotate stock when restocking shelves?
- To make the shelf look full
- To ensure older products are sold first and reduce waste from expiration (Correct answer)
- To confuse theft attempts
- To make restocking easier for the next associate
Correct answer: To ensure older products are sold first and reduce waste from expiration
Rotating stock using FIFO ensures older products sell first reducing waste from expiration or damage.
Question 5: An inventory count shows 50 units in the system but you only find 42 on the shelf. What should you do?
- Update the count to 42 without investigating
- Investigate potential causes such as theft, misplacement, or receiving errors, then report (Correct answer)
- Assume the system is wrong and ignore the discrepancy
- Add 8 phantom units to match the system
Correct answer: Investigate potential causes such as theft, misplacement, or receiving errors, then report
Investigating inventory discrepancies identifies root causes such as shrinkage or errors before correcting records.
Question 6: What is a UPC barcode used for in a retail setting?
- To display the product price to customers
- To uniquely identify products for inventory tracking, pricing, and sales (Correct answer)
- To determine the country of manufacture
- To track employee performance
Correct answer: To uniquely identify products for inventory tracking, pricing, and sales
UPC barcodes uniquely identify products and enable accurate point-of-sale and inventory tracking.
Walmart Asessment Inventory and Store Operations 2
What is 'shrinkage' in retail terms?