Ch14 Materials and Resource Requirements Planning Test Bank

Chapter 14 Test Bank

Multiple Choice Questions

1. MRP is a process that would be most applicable in which situation?

A. Planning requirements for repair parts for production equipment in a manufacturing plant.

B. Planning requirements for safety stocks of finished goods in a distribution center.

C. Planning requirements for bicycle seats in a bicycle production plant.

D. None of these.

AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
Accessibility: Screen Reader Compatible
Blooms: Understand
Difficulty: 2 Medium
Gradable: automatic
Learning Objective: 14-01 Explain the materials requirements planning (MRP) process and when it should be used.
Topic: Materials Requirements Planning

2. Materials requirements planning (MRP) systems are used primarily to:

A. Plan orders.

B. Plan lead time.

C. Plan amounts of end items to produce.

D. Plan distribution.

3. Planning for which of the following products would see the LEAST benefit from the use of an MRP system?

A. Microwave ovens

B. Mobile phones

C. Shampoo

D. Power lawn mowers

AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Accessibility: Screen Reader Compatible
Blooms: Apply
Difficulty: 3 Hard
Gradable: automatic
Learning Objective: 14-01 Explain the materials requirements planning (MRP) process and when it should be used.
Topic: Materials Requirements Planning

4. The quantities of end items to be completed in each time period into the future is shown in a(n):

A. MRP.

B. MPS.

C. BOM.

D. ERP.

5. The longest lead-time path in the BOM is the:

A. Time bucket.

B. Planning horizon.

C. Time window.

D. Cumulative lead time.

6. If the cumulative lead time is eight weeks, for a project to be feasible the MPS planning horizon must be:

A. Exactly eight weeks.

B. At least eight weeks.

C. Less than eight weeks.

D. At least 16 weeks.

AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Accessibility: Screen Reader Compatible
Blooms: Apply
Difficulty: 3 Hard
Gradable: automatic
Learning Objective: 14-02 Conduct MRP planning for items at multiple levels in the bill of materials (BOM).
Topic: MRP Inputs

7. A master production schedule shows the following information:

Beginning inventory = 20	Period 1	Period 2
Forecast	90	200
Actual orders	100	180
Projected on-hand inventory
Available to promise
MPS

Using a lot-for-lot rule, what is the MPS quantity for period 1?

A. 90

B. 80

C. 100

D. 40

AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Analyze
Difficulty: 3 Hard
Gradable: automatic
Learning Objective: 14-02 Conduct MRP planning for items at multiple levels in the bill of materials (BOM).
Topic: MRP Inputs

8. A master production schedule shows the following information:

Beginning inventory = 20	Period 1	Period 2
Forecast	90	200
Actual orders	100	180
Projected on-hand inventory
Available to promise
MPS

What is the number of items available to promise for period 2?

A. 0.

B. −20.

C. 20.

D. None of these.

9. A master production schedule shows the following information:

MPS	Week	Week	Week	Week
Beginning inventory = 100	1	2	3	4
Forecast	500	550	400	500
Actual customer orders	550	600	500	450
Projected on-hand inventory
Available to promise
MPS

Using a lot-for-lot rule, what is the MPS quantity for week 4?

A. 500

B. 400

C. 450

D. 50

10. A master production schedule shows the following information:

MPS	Week	Week	Week	Week
Beginning inventory = 300	1	2	3	4
Forecast	1,000	1,200	1,300	1,200
Actual customer orders	800	1,000	800	700
Projected on-hand inventory	0	0	0	0
Available to promise
MPS

Based on the information in the MPS, what is the number of items that is available to promise in week 4?

A. 1,200

B. 700

C. 500

D. 1,500

11. Which of the following is NOT an input into the MRP?

A. Bill of materials

B. Inventory records file

C. Master production schedule

D. Planned order release

12. A bill of materials file contains:

A. Invoices for materials that must be paid in this period.

B. Lists of materials required to produce end item products.

C. Accounts payable for materials.

D. None of these.

AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
Accessibility: Screen Reader Compatible
Blooms: Understand
Difficulty: 2 Medium
Gradable: automatic
Learning Objective: 14-02 Conduct MRP planning for items at multiple levels in the bill of materials (BOM).
Topic: MRP Inputs

13. End item A is made by assembling two of part B and three of part C. Part C is made from two of component D and two of component E. Component D is considered to be a:

A. Level 0 input.

B. Level 1 input.

C. Level 2 input.

D. Level 3 input.

AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
Accessibility: Screen Reader Compatible
Blooms: Evaluate
Difficulty: 3 Hard
Gradable: automatic
Learning Objective: 14-02 Conduct MRP planning for items at multiple levels in the bill of materials (BOM).
Topic: MRP Inputs

14. Using the BOM, if two units of A are needed, how many of K will be required? Assume that there is no on-hand inventory of any items.

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A. 16

B. 34

C. 52

D. 104

15. Which of the following is NOT included in the information about the inventory records file for an item?

A. Safety stock

B. Preferred order quantity

C. Net requirements

D. Lead time

AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
Accessibility: Screen Reader Compatible
Blooms: Understand
Difficulty: 2 Medium
Gradable: automatic
Learning Objective: 14-02 Conduct MRP planning for items at multiple levels in the bill of materials (BOM).
Topic: MRP Inputs

16. End item A is made by assembling two parts of B and 4 parts of C. Part C is made from 3 parts of D and 2 parts of E. Gross requirements for end item A are 100 units.

	Units on-hand in inventory
End item A	50
Part B	30
Part C	75
Part D	100
Part E	75

What is the net requirement for part C?

A. 70 units

B. 200 units

C. 125 units

D. 100 units

17. End item A is made by assembling two parts of B and four parts of C. Part C is made from three parts of D and two parts of E. Gross requirements for end item A are 100 units.

	Units on-hand in inventory
End item A	50
Part B	30
Part C	75
Part D	100
Part E	75

What is the gross requirement for part E?

A. 175

B. 275

C. 375

D. 250

;	Gross requirements	Units on-hand in inventory	Net requirements
End item A	100	50	50
Part B (2)	100 (50 × 2)	30	70
Part C (4)	200 (50 × 4)	75	125
Part D (3)	375 (125 × 3)	100	275
Part E (2)	250 (125 × 2)	75	175

18. Jones Company uses widgets as component parts. In a particular week it has gross requirements for 250 units of widgets, beginning inventory of 50 widgets, and scheduled receipts of 350 widgets. Available inventory for the next period is:

A. 650.

B. 50.

C. 250.

D. 150.

AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Accessibility: Screen Reader Compatible
Blooms: Analyze
Difficulty: 3 Hard
Gradable: automatic
Learning Objective: 14-02 Conduct MRP planning for items at multiple levels in the bill of materials (BOM).
Topic: MRP Process

19. An MRP record for a motor is shown in the following table.

MRP Record	Part Name: Motor
Lead time = 2 weeks On-hand inventory = 500 Safety stock = 100 Order quantity: LFL	Week	Week	Week	Week	Week	Week	Week	Week
	1	2	3	4	5	6	7	8
Gross Requirements	6,000	8,000	10,000	10,000	10,000	8,000	6,000	8,000
Scheduled Receipts	5,600	8,000
Available Inventory	500	100
Net Requirements
Planned Order Receipts
Planned Order Release

What is the planned order release for week 4?

A. 0

B. 10,000

C. 8,000

D. 6,000

20. Significant changes in an MPS quantity several weeks into the planning horizon can:

A. Make the MRP more accurate.

B. Cause inconsistencies in the MRP.

C. Reduce stockouts.

D. Increase safety stock.

21. Constant changing of the master schedule and the resulting changes in the requirements for components is referred to as:

A. Master schedule dynamics.

B. System nervousness.

C. Bad planning.

D. MRP failure.

22. The positioning and replenishment of finished goods inventories at the retail level can be determined using:

A. MRP.

B. CRP.

C. DRP.

D. RFID.

23. Zanda Company is looking for a requirements planning system to help plan replenishment of its finished goods throughout its network of distribution centers. The type of system Zanda should consider is known as:

A. CRP.

B. DRP.

C. MRP.

D. ERP.

AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
Accessibility: Screen Reader Compatible
Blooms: Understand
Difficulty: 2 Medium
Gradable: automatic
Learning Objective: 14-03 Explain how distribution requirements planning (DRP) is used.
Topic: Distribution Requirements Planning (DRP)

24. Capacity requirements planning does all of the following EXCEPT:

A. Determine if a work center has the capacity to implement the MRP plan.

B. Use planned order releases and scheduled receipts to estimate work center loads.

C. Develop a load profile.

D. Recalculate the MRP plan.

AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
Accessibility: Screen Reader Compatible
Blooms: Remember
Difficulty: 1 Easy
Gradable: automatic
Learning Objective: 14-04 Conduct capacity requirements planning (CRP) using an infinite loading approach.
Topic: Capacity Requirements Planning (CRP).

25. The following table shows capacity requirements data for making Blodgetts.

Processing time per unit = 2 hours	Period 1	Period 2	Period 3	Period 4	Period 5
Planned order releases	300	400	340	375	325
Processing load
Available capacity	700	700	700	700	700

A load profile would show:

A. Load above capacity in periods 3 and 5.

B. Load below capacity in periods 1 and 3.

C. Load is exactly equal to capacity in period 5.

D. None of these.

AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Analyze
Difficulty: 3 Hard
Gradable: automatic
Learning Objective: 14-04 Conduct capacity requirements planning (CRP) using an infinite loading approach.
Topic: Capacity Requirements Planning (CRP).

26. The following table shows capacity requirements data for making tabletops.

Processing time per unit = 10 minutes	Day 1	Day 2	Day 3	Day 4	Day 5
Planned order releases (units)	40	46	40	54	50
Processing load (hours)
Available capacity (hours)	8	8	8	8	8

Which of the following is TRUE?

A. Overtime is needed in day 1.

B. Capacity exactly meets demand in day 5.

C. All of the excess demand in days 4 and 5 can be shifted to day 3.

D. New machines are needed.

27. Software that consolidates all of the business planning systems and data throughout an organization is:

A. MPS.

B. MRP.

C. DRP.

D. ERP.

AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
Accessibility: Screen Reader Compatible
Blooms: Remember
Difficulty: 1 Easy
Gradable: automatic
Learning Objective: 14-05 Describe how materials requirements and resource planning functions work together within an enterprise resource planning (ERP) system.
Topic: Advances in Planning Systems

28. Benefits of ERP systems include all of the following EXCEPT:

A. Easy implementation.

B. Fewer data entry errors.

C. More informed business decisions.

D. Improved customer service.

AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
Accessibility: Screen Reader Compatible
Blooms: Understand
Difficulty: 2 Medium
Gradable: automatic
Learning Objective: 14-05 Describe how materials requirements and resource planning functions work together within an enterprise resource planning (ERP) system.
Topic: Advances in Planning Systems

29. Advanced planning and scheduling systems:

A. Use a similar logic to the logic used in MRP.

B. Consolidate all business planning systems and data throughout an organization.

C. Integrate materials and capacity planning into one system.

D. All of these.

AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
Accessibility: Screen Reader Compatible
Blooms: Remember
Difficulty: 1 Easy
Gradable: automatic
Learning Objective: 14-06 Explain how advanced planning systems and scheduling (APS) systems improve the requirements and resource planning process.
Topic: Advances in Planning Systems

30. The primary purpose of an MRP system is to:

A. Develop forecasts.

B. Plan transportation and deliveries.

C. Schedule personnel.

D. Match supply and demand.

AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
Accessibility: Screen Reader Compatible
Blooms: Remember
Difficulty: 1 Easy
Gradable: automatic
Learning Objective: 14-01 Explain the materials requirements planning (MRP) process and when it should be used.
Learning Objective: 14-06 Explain how advanced planning systems and scheduling (APS) systems improve the requirements and resource planning process.
Topic: Materials Requirements Planning

31. Which of the following would benefit the most from MRP?

A. Gasoline production.

B. Building of a new bridge.

C. Production of vacuum cleaners.

D. Production of aluminum soft drink cans.

32. Which of the following is NOT an input to an MRP system?

A. Order releases.

B. Actual orders.

C. Inventory receipts.

D. Bill of materials.

33. All of the following are outputs from an MRP system EXCEPT:

A. Order releases.

B. Change orders.

C. Forecasts.

D. Exception reports.

34. An MPS shows:

A. The change orders that are required.

B. The quantities of end items to be completed in each time period.

C. The number of each type of part that is needed to make the final product.

D. The scheduled releases for all parts and components.

AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
Accessibility: Screen Reader Compatible
Blooms: Understand
Difficulty: 2 Medium
Gradable: automatic
Learning Objective: 14-02 Conduct MRP planning for items at multiple levels in the bill of materials (BOM).
Topic: MRP Inputs

35. If the planning horizon is 12 weeks, the cumulative lead time must be:

A. Greater than 12 weeks.

B. Exactly equal to 12 weeks.

C. Greater than six weeks.

D. Less than or equal to 12 weeks.

36. The entire time period covered by the MPS is the:

A. Time bucket.

B. Cumulative lead time.

C. Planning horizon.

D. Production schedule.

37. A master production schedule shows the beginning inventory is 50 units, the forecast is 80 units, and actual customer orders are 70 units. Using a lot-for-lot rule, what is the MPS quantity for period 1?

A. 30

B. 80

C. 70

D. 20

38. A master production schedule shows the beginning inventory is 100 units, the forecast is 250 units, and actual customer orders are 400 units. Using a lot-for-lot rule, what is the MPS quantity for period 1?

A. 150

B. 250

C. 300

D. 400

39. A master production schedule shows the beginning inventory is 200 units, the forecast is 600 units, and the actual customer orders is 500 units. Using a lot-for-lot rule, what is the MPS quantity for period 1?

A. 400

B. 300

C. 600

D. 500

40. A master production schedule shows the beginning inventory is 40 units, the forecast is 100 units, and actual customer orders are 80 units. What is the quantity that is available to promise in period 1?

A. 40

B. 80

C. 100

D. 60

41. A master production schedule shows the beginning inventory is 50 units, the forecast is 200 units, and actual customer orders are 220 units. What is the quantity that is available to promise in period 1?

A. 50

B. 150

C. 170

D. 0

42. A detailed description of an “end item” along with a list of all of its raw materials, parts, and subassemblies is shown in a:

A. MPS.

B. Planning horizon.

C. BOM.

D. DRP.

43. A company has decided to outsource the production of key components for its main product to suppliers. What effect will this have on the product’s bill of materials?

A. None.

B. The bill of materials will be wider.

C. The bill of materials will be deeper.

D. The bill of materials will be flatter.

AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
Accessibility: Screen Reader Compatible
Blooms: Understand
Difficulty: 2 Medium
Gradable: automatic
Learning Objective: 14-02 Conduct MRP planning for items at multiple levels in the bill of materials (BOM).
Topic: MRP Inputs

44. An end item A is made by assembling four of component B and one of component C. Component B is made from two of part D and four of part E. Within the bill of materials, component B is considered to be:

A. Level 0.

B. Level 1.

C. Level 2.

D. Level 3.

AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
Accessibility: Screen Reader Compatible
Blooms: Understand
Difficulty: 2 Medium
Gradable: automatic
Learning Objective: 14-02 Conduct MRP planning for items at multiple levels in the bill of materials (BOM).
Topic: MRP Inputs

45. An MRP schedule is as follows. What are the net requirements in week 2?

MRP Record	Part Name: Pump
Lead time = 1 weeks on hand = 50 Safety stock = 20 Order quantity: L4L	Week	Week	Week	Week	Week	Week	Week	Week
	1	2	3	4	5	6	7	8
Gross Requirements	20	30	40	40	60	40	50	20
Scheduled Receipts
Available Inventory
Net Requirements
Planned Order Receipts

A. 0 units.

B. 20 units.

C. 30 units.

D. 50 units.

46. Which of the following pieces of information is NOT contained in an MRP secondary report?

A. Cost.

B. Inventory levels.

C. Schedule attainment.

D. Planned order releases.

47. Distribution requirements planning:

A. Uses logic that starts at the manufacturing plant and works forward toward the customer.

B. Includes only firm orders in its calculations.

C. Uses logic similar to MRP, beginning at the point closest to the customer.

D. Is normally not included as a module in ERP software.

AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
Accessibility: Screen Reader Compatible
Blooms: Understand
Difficulty: 2 Medium
Gradable: automatic
Learning Objective: 14-03 Explain how distribution requirements planning (DRP) is used.
Topic: Distribution Requirements Planning (DRP)

48. The available capacity of a worker, machine, work center, or facility during a specific period of time is compared against the capacity needed for a specific work schedule in a:

A. Load profile.

B. Capacity profile.

C. Infinite load.

D. DRP.

AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
Accessibility: Screen Reader Compatible
Blooms: Remember
Difficulty: 1 Easy
Gradable: automatic
Learning Objective: 14-04 Conduct capacity requirements planning (CRP) using an infinite loading approach.
Topic: Capacity Requirements Planning (CRP).

49. The planned order releases in week 5 are 10 units. Each unit must be processed for five minutes at the workstation. If the available capacity at the workstation is one hour:

A. Overtime will be needed.

B. Delivery lead times should be increased.

C. The workstation is underloaded.

D. An order backlog will be created.

AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Accessibility: Screen Reader Compatible
Blooms: Analyze
Difficulty: 3 Hard
Gradable: automatic
Learning Objective: 14-04 Conduct capacity requirements planning (CRP) using an infinite loading approach.
Topic: Capacity Requirements Planning (CRP).

50. Demand-driven MRP:

A. Compares materials and capacity requirements within a single firm.

B. Extends planning across the supply chain.

C. Focuses on distribution planning.

D. Is also called advanced planning and scheduling.

AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
Accessibility: Screen Reader Compatible
Blooms: Remember
Difficulty: 1 Easy
Gradable: automatic
Learning Objective: 14-05 Describe how materials requirements and resource planning functions work together within an enterprise resource planning (ERP) system.
Topic: Advances in Planning Systems

Chapter 14 Test Bank - Static Summary

Category	# of Questions
AACSB: Analytical Thinking	22
AACSB: Reflective Thinking	28
Accessibility: Keyboard Navigation	50
Accessibility: Screen Reader Compatible	39
Blooms: Analyze	19
Blooms: Apply	3
Blooms: Evaluate	1
Blooms: Remember	18
Blooms: Understand	9
Difficulty: 1 Easy	18
Difficulty: 2 Medium	9
Difficulty: 3 Hard	23
Gradable: automatic	50
Learning Objective: 14-01 Explain the materials requirements planning (MRP) process and when it should be used.	5
Learning Objective: 14-02 Conduct MRP planning for items at multiple levels in the bill of materials (BOM).	33
Learning Objective: 14-03 Explain how distribution requirements planning (DRP) is used.	3
Learning Objective: 14-04 Conduct capacity requirements planning (CRP) using an infinite loading approach.	5
Learning Objective: 14-05 Describe how materials requirements and resource planning functions work together within an enterprise resource planning (ERP) system.	3
Learning Objective: 14-06 Explain how advanced planning systems and scheduling (APS) systems improve the requirements and resource planning process.	2
Topic: Advances in Planning Systems	4
Topic: Capacity Requirements Planning (CRP).	5
Topic: Distribution Requirements Planning (DRP)	3
Topic: Materials Requirements Planning	5
Topic: MRP Inputs	26
Topic: MRP Outputs and Use	3
Topic: MRP Process	4

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Chapter Number:

Created Date:

Aug 21, 2025

Chapter Name:

Chapter 14 Materials and Resource Requirements Planning

Author:

Morgan Swink

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