Question Bank – Materials Management- Sunil Raghav

Q. No1. Organisational set up of Materials management in NTPC is based on :

(A)Location.

(B) Function

(C) Location & Function

(D) None of these.

Q. No.2 Advantages of integrated materials management system ensures better :

(A) Accountability

(B) Co-ordination

(C) Performance

(D) All the three parameters.

Q.No.3. What’s the name of newly included 7 R in 6 R’s list :

(A) Right behavior

(B) Right Aptitude

(C) Right Attitude

(D) None of these

Q.No.4. What does EOQ stands for :

(A) Economic Order Quality

(B) Economic Order Quantity

(C) Efficient Order Quantity

(D) None of these

Q. No.5. The term CPM stands for :

(A) Contract Planning & Management

(B) Construction Plant and Machinery

(C) Construction Planning and Maintenance

(D) None of these

Q.No.6. In case of PSU’s and Co-operative Societies what is the maximum amount an Indenter
can go for direct purchasing……

(A) 20,000

(B) 25,000

(C) 30,000

(D) 35,000

Q.No.7 In case of other than PSU’s and co-operative Societies what is the amount an indenter can
go for direct purchasing pertaining to sundry requirements….

(A) 10,000

(B) 12,000

(C) 9,000

(D) None of these

Q.No.8 In case of Sundry requirements if the amount exceeds the permissible limits the indenting
department will be having an representative of which department in the team….

(A) Finance Department

(B) Materials Department

(C) Purchasing Department

(D) None of these

Q.No.9 In case of materials required through indenting by an department exceeds amount 2 Lacs
of Value then it will be routed through which committee

(A) Works Committee

(B) Purchasing Committee

(C) Screening Committee

(D) None of these

Q.No.10. Screening Committee will comprise of members from :

(A) Materials Management

(B) Indenting and Materials Management

(C) MTP

(D) All the above mentioned

Q.No.11. The Matarials Management Process Includes the following aspects :

(A) Material Cost

(B) Material Supply

(C) Material Utilization

(D) All the above mentioned aspects.

Q.No.12. Inventories Comprise almost how much percentage of the Working Capital?

(A) 70%

(B) 80%

(C) 90%

(D) 100%

Q.No.13. Purchasing activity is an integral part of Procurement process :

(A) Yes

(B) No

(C) Not Sure

(D) None of these.

Q.No. 14. Which of the following is not a constraint to effective material management :

(A) Inflation

(B) Availability and Deliveries

(C) Absence of Integrated approach

(D) All these mentioned above..

Q.No.15. Materials account for almost what percentage of production costs :

(A) 60 %

(B) 70 %

(C) 80 %

(D) 60-70 %

Q.No.16. Pertaining to responsibilities of a materials manager which of the below mentioned

factor has the maximum impact in percentage terms :

(A) Inventory Control

(B) Purchasing

(C) Receiving
(D) Traffic

Q.No.17. The materials planning tends to work out the quantities of the following :

(A) Raw Material

(B) General Engineering Items

(C) Spare Parts

(D) All the above mentioned.

Q.No.18. A broad guideline of spare parts can be divided into the following categories :

(A) Spare parts of regular requirements

(B) Spare parts of periodic/regular requirements

(C) Capital/Insurance parts

(D) All of these….

Q.No.19. BOQ stands for :

(A) Bill of Quality

(B) Bill of Quantity

(C) Benchmarking of Quality

(D) None of these….

Q.No.20. Generally purchasing is segregated into how many groups ?

(A) 3

(B) 2

(C) 4

(D) 5

Q.No.21.General conditions of tender includes the following aspects :

(A) Our inquiry reference

(B) Full description of items

(C) Earliest firm delivery

(D) All of these….

Q.No.22 Within how many days of receipt and acceptance of materials the payment should be
made :

(A) 60
(B) 50

(C) 30

(D) 28

Q.No.23. The maximum percentage of order value in case of Liquidated Damages is :

(A) 6

(B) 4

(C) 5

(D) 5.5

Q.No.24 What is the percentage value (EMD) a tenderer has to pay in the form of drafts or Power
Bonds :

(A) 3

(B) 2.5

(C) 2.8

(D) 2

Q.No. 25 What is the percentage value of Order a supplier has to deposit as Security Deposit :

(A) 8

(B) 9

(C) 10

(D) 11

Q.No. 26 The Material codification no. being used in NTPC consists of how many digits ?

(A) 9

(B) 10

(C) 11

(D) 12

Q.No.27 The 5th and 6th digits of Material Codification System indicates ?

(A) Main Group

(B) Sub Group

(C) Characteristics

(D) Check Digit

Q. No.28. The 7th and 8th digits of Material Codification System stands for :

(A) Main Group

(B) Sub Group

(C) Characteristics

(D) Check Digit

Q.No. 29 The term SAS in Computerisation system stands for :

(A) Stores Accounting System

(B) Stores Approval System

(C) Standard Approval System

(D) None of these

Q.No.30 The Term SRV stands for :

(A) Stores Reciept Validation

(B) Stores Reciept Voucher

(C) Stores Received Voucher

(D) Standard Reciept Voucher

Q.No.31 The term SIV in Computerisation System stands for :

(A) Stores Issue Voucher

(B) Stores Indication Voucher

(C) Stores Inventory Voucher

(D) None of these

Q.No.32 The term MTN indicates :

(A) Material Transfer Number

(B) Materials Transfer Note

(C) Materials Terminal Number

(D) None of these

Q.No.33 The Vendor Development process consists of how many phases:

(A) 3

(B) 4
(C) 5

(D) None of these

Q.No.34 Under Vendor Categorisation process how many categories are taken into
consideration :

(A) 3

(B) 4

(C) 5

(D) None of these

Q.No. 35 The probable parameters in Vendor evaluation process can be :

(A) Price

(B) Quality

(C) Service

(D) All three parameters

Q.No.36 The validity of Vendor registeration system is how many years :

(A) 2 Years

(B) 3 Years

(C) 4 Years

(D) None of these

Q.No.37 The 2nd and 3rd digits of Vendor Registration Code stands for:

(A) Type of Industry

(B) First alphabets of suppliers name

(C) Code of the state in which the factory is situated

(D) Sr.No.

Q.No.38 The last digit of Vendor Registration Code indicates :

(A) Type of Industry

(B) First alphabets of suppliers name

(C) Code of the state in which the factory is situated

(D) Sr.No.

Q.No.39 Premature termination of Vendor Registeration Code can be done in following cases :
(A) Financial Insolvency

(B) No Response

(C) Change in use

(D) All the above mentioned cases..

Q.No.40 The List prepared for Vendor Registeration Process should not be smaller than :

(A) 5 Vendors

(B) 6 Vendors

(C) 7 Vendors

(D) None of these