Transportation, Transportation, Warehousing, Warehousing,

3PL3PL

2

Which of the following is not an Which of the following is not an

example of a function provided example of a function provided by transportation?by transportation?

a)a) temporary warehousingtemporary warehousing

b)b) productionproduction

c)c) forecastingforecasting

d)d) customer servicecustomer service

3

Which of the following is not an Which of the following is not an

example of a function provided example of a function provided by transportation?by transportation?

a)a) temporary warehousingtemporary warehousing

b)b) productionproduction

c)c) forecastingforecasting

d)d) customer servicecustomer service

4

Transportation creates profit Transportation creates profit leverage through:leverage through:

a)a) increased sales increased sales

b)b) reduced fixed costsreduced fixed costs

c)c) reduced logistics costsreduced logistics costs

d)d) increased visibilityincreased visibility

5

Transportation creates profit Transportation creates profit leverage through:leverage through:

a)a) increased sales increased sales

b)b) reduced fixed costsreduced fixed costs

c)c) reduced logistics costsreduced logistics costs

d)d) increased visibilityincreased visibility

6

In the United States, which In the United States, which mode of transportation was mode of transportation was

deregulated first?deregulated first?

a)a) railroad railroad

b)b) truckingtrucking

c)c) air passenger serviceair passenger service

d)d) air freight serviceair freight service

7

In the United States, which In the United States, which mode of transportation was mode of transportation was

deregulated first?deregulated first?

a)a) railroad railroad

b)b) truckingtrucking

c)c) air passenger serviceair passenger service

d)d) air freight serviceair freight service

8

Which mode of transportation Which mode of transportation transports more than 75% of transports more than 75% of

the annual tonnage of the annual tonnage of agricultural products in the agricultural products in the

U.S.?U.S.?a)a) trucking trucking

b)b) railrail

c)c) waterwater

d)d) pipelinepipeline

e)e) airair

9

Which mode of transportation Which mode of transportation transports more than 75% of transports more than 75% of

the annual tonnage of the annual tonnage of agricultural products in the agricultural products in the

U.S.?U.S.?a)a) trucking trucking

b)b) railrail

c)c) waterwater

d)d) pipelinepipeline

e)e) airair

10

Which of the following Which of the following statements statements

about interstate and intrastate about interstate and intrastate transportation is correct?transportation is correct?

a)a) interstate is within states and intrastate is interstate is within states and intrastate is between statesbetween states

b)b) intrastate is within states and interstate is intrastate is within states and interstate is between statesbetween states

c)c) interstate and intrastate are the same thinginterstate and intrastate are the same thingd)d) the federal government regulates both the federal government regulates both

interstate and intrastate transportationinterstate and intrastate transportation

11

Which of the following Which of the following statements statements

about interstate and intrastate about interstate and intrastate transportation is correct?transportation is correct?

a)a) interstate is within states and intrastate is interstate is within states and intrastate is between statesbetween states

b)b) intrastate is within states and interstate is intrastate is within states and interstate is between statesbetween states

c)c) interstate and intrastate are the same thinginterstate and intrastate are the same thingd)d) the federal government regulates both the federal government regulates both

interstate and intrastate transportationinterstate and intrastate transportation

12

Rather than placing inventories Rather than placing inventories of highly seasonal items year-of highly seasonal items year-round in warehouse facilities, round in warehouse facilities,

many companies decide to use:many companies decide to use:

a)a) spot stocking spot stocking

b)b) smaller assortmentssmaller assortments

c)c) larger assortmentslarger assortments

d)d) third-party consignment third-party consignment specialistsspecialists

13

Rather than placing inventories Rather than placing inventories of highly seasonal items year-of highly seasonal items year-round in warehouse facilities, round in warehouse facilities,

many companies decide to use:many companies decide to use:

a)a) spot stocking spot stocking

b)b) smaller assortmentssmaller assortments

c)c) larger assortmentslarger assortments

d)d) third-party consignment third-party consignment specialistsspecialists

14

You have been tasked with You have been tasked with cutting cutting

costs in your DC. Which of the costs in your DC. Which of the following would you do?following would you do?

a.) a.) lower customer service levels to allow the lower customer service levels to allow the distribution center to store less safety distribution center to store less safety stockstock

b.) build additional storage capacity with b.) build additional storage capacity with automated material handling capabilitiesautomated material handling capabilities

c.) cross-dock deliveries from suppliers to c.) cross-dock deliveries from suppliers to customers for high turn itemscustomers for high turn items

d.) decentralize distribution to more facilities d.) decentralize distribution to more facilities located closer to marketslocated closer to markets

15

You have been tasked with You have been tasked with cutting cutting

costs in your DC. Which of the costs in your DC. Which of the

following would you do?following would you do?

a.) a.) lower customer service levels to allow the lower customer service levels to allow the distribution center to store less safety distribution center to store less safety stockstock

b.) build additional storage capacity with b.) build additional storage capacity with automated material handling capabilitiesautomated material handling capabilities

c.) c.) cross-dock deliveries from suppliers to cross-dock deliveries from suppliers to customers for high turn itemscustomers for high turn items

d.) decentralize distribution to more facilities d.) decentralize distribution to more facilities located closer to marketslocated closer to markets

16

Which of the following sets of Which of the following sets of characteristics will lead to the characteristics will lead to the

lowest freight class lowest freight class designation?designation?

a)a) high density, low valuehigh density, low value

b)b) low density, high valuelow density, high value

c)c) low density, low valuelow density, low value

d)d) high density, high valuehigh density, high value

17

Which of the following sets of Which of the following sets of characteristics will lead to the characteristics will lead to the

lowest freight class lowest freight class designation?designation?

a)a) high density, low valuehigh density, low value

b)b) low density, high valuelow density, high value

c)c) low density, low valuelow density, low value

d)d) high density, high valuehigh density, high value

18

Which type of utility does Which type of utility does warehousing create in goods?warehousing create in goods?

a)a) timetime

b)b) placeplace

c)c) formform

d)d) ownershipownership

19

Which type of utility does Which type of utility does warehousing create in goods?warehousing create in goods?

a)a) timetime

b)b) placeplace

c)c) formform

d)d) ownershipownership

20

Rail computer systems identify Rail computer systems identify cars for reconsignment and cars for reconsignment and

diversions. What are these cars diversions. What are these cars called?called?

a)a) tracerstracers

b)b) passerspassers

c)c) rollersrollers

d)d) progressorsprogressors

21

Rail computer systems identify Rail computer systems identify cars for reconsignment and cars for reconsignment and

diversions. What are these cars diversions. What are these cars called?called?

a)a) tracerstracers

b)b) passerspassers

c)c) rollersrollers

d)d) progressorsprogressors

22

Materials handling is a term Materials handling is a term applied to:applied to:

a)a) the use of automatic equipmentthe use of automatic equipment

b)b) order processingorder processing

c)c) warehouse space utilizationwarehouse space utilization

d)d) movement into, out of, and within movement into, out of, and within storage facilitiesstorage facilities

23

Materials handling is a term Materials handling is a term applied to:applied to:

a)a) the use of automatic equipmentthe use of automatic equipment

b)b) order processingorder processing

c)c) warehouse space utilizationwarehouse space utilization

d)d) movement into, out of, and within movement into, out of, and within storage facilitiesstorage facilities

24

What type of motor carrier What type of motor carrier information system is used by information system is used by carriers to relieve empty back carriers to relieve empty back

hauls?hauls?

a)a) car passingcar passing

b)b) reservationsreservations

c)c) rate basingrate basing

d)d) tracingtracing

25

What type of motor carrier What type of motor carrier information system is used by information system is used by carriers to relieve empty back carriers to relieve empty back

hauls?hauls?

a)a) car passingcar passing

b)b) reservationsreservations

c)c) rate basingrate basing

d)d) tracingtracing

26

Generally, at higher volumes of Generally, at higher volumes of throughput, a firm should throughput, a firm should

utilize:utilize:

a)a) a public warehousea public warehouse

b)b) a federal warehousea federal warehouse

c)c) a private warehousea private warehouse

d)d) a local warehousea local warehouse

27

Generally, at higher volumes of Generally, at higher volumes of throughput, a firm should throughput, a firm should

utilize:utilize:

a)a) a public warehousea public warehouse

b)b) a federal warehousea federal warehouse

c)c) a private warehousea private warehouse

d)d) a local warehousea local warehouse

28

How does a LASH ship differ How does a LASH ship differ from a ship that offers from a ship that offers

container service?container service?

a)a) LASH ships travel inland waterwaysLASH ships travel inland waterways

b)b) container service involves only container service involves only inland waterwaysinland waterways

c)c) LASH ship carries loaded bargesLASH ship carries loaded barges

d)d) container service is for make‑bulk container service is for make‑bulk shipmentsshipments

29

How does a LASH ship differ How does a LASH ship differ from a ship that offers from a ship that offers

container service?container service?

a)a) LASH ships travel inland waterwaysLASH ships travel inland waterways

b)b) container service involves only container service involves only inland waterwaysinland waterways

c)c) LASH ship carries loaded bargesLASH ship carries loaded barges

d)d) container service is for make‑bulk container service is for make‑bulk shipmentsshipments

30

Capacity of ships, in general, is Capacity of ships, in general, is most likely to be defined in most likely to be defined in

terms of:terms of:

a)a) deadweight tons (DWT)deadweight tons (DWT)b)b) net registered volume (NRV) net registered volume (NRV) c)c) bale cubic (BC) bale cubic (BC) d)d) ship long tons (SLT) ship long tons (SLT) e)e) measurement ship tons (MST)measurement ship tons (MST)

31

Capacity of ships, in general, is Capacity of ships, in general, is most likely to be defined in most likely to be defined in

terms of:terms of:

a)a) deadweight tons (DWT)deadweight tons (DWT)b)b) net registered volume (NRV) net registered volume (NRV) c)c) bale cubic (BC) bale cubic (BC) d)d) ship long tons (SLT) ship long tons (SLT) e)e) measurement ship tons (MST)measurement ship tons (MST)

32

The deregulation of the The deregulation of the transportation industry allowed transportation industry allowed

for for which of the following?which of the following?

a)a) increased pricing flexibilityincreased pricing flexibility

b)b) availability of new services and relationships availability of new services and relationships

c)c) reduced restrictions on transportation and reduced restrictions on transportation and services services

d)d) all of the above all of the above

33Mentzer p.251

The deregulation of the The deregulation of the transportation industry allowed transportation industry allowed

for for which of the following?which of the following?

a)a) increased pricing flexibilityincreased pricing flexibility

b)b) availability of new services and availability of new services and relationships relationships

c)c) reduced restrictions on transportation reduced restrictions on transportation and servicesand services

d)d) all of the aboveall of the above

34

An example of a transportation An example of a transportation quality initiative utilized by quality initiative utilized by many supply chains today is:many supply chains today is:

a)a) six sigma metricsix sigma metric

b)b) just-in-time just-in-time

c)c) postponement of forecastingpostponement of forecasting

d)d) the 5 S’sthe 5 S’s

35Mentzer p.252

An example of a transportation An example of a transportation quality initiative utilized by quality initiative utilized by many supply chains today is:many supply chains today is:

a)a) six sigma metricsix sigma metric

b)b) just-in-time just-in-time

c)c) postponement of forecastingpostponement of forecasting

d)d) the 5 S’sthe 5 S’s

36

Transportation costs are Transportation costs are considered to be a trade-off considered to be a trade-off with which of the following?with which of the following?

a)a) materials handling costsmaterials handling costs

b)b) distribution costs distribution costs

c)c) warehousing costs warehousing costs

d)d) production costs production costs

37Mentzer p.253

Transportation costs are Transportation costs are considered to be a trade-off considered to be a trade-off with which of the following?with which of the following?

a)a) materials handling costsmaterials handling costs

b)b) distribution costsdistribution costs

c)c) warehousing costs warehousing costs

d)d) production costsproduction costs

38

A prerequisite for a structural A prerequisite for a structural innovation in supply chains and innovation in supply chains and

transportation would be:transportation would be:

a)a) information technology allowing status quo information technology allowing status quo transportation solutionstransportation solutions

b)b) flexible production allowing full potential flexible production allowing full potential time-based distributiontime-based distribution

c)c) centralized administrative facilities in the centralized administrative facilities in the presence of decentralized distribution presence of decentralized distribution centerscenters

d)d) warehousing systems necessitating a high warehousing systems necessitating a high dependency on safety stockdependency on safety stock

39Mentzer p.258

A prerequisite for a structural A prerequisite for a structural innovation in supply chains and innovation in supply chains and

transportation would be:transportation would be:

a)a) information technology allowing status quo information technology allowing status quo transportation solutionstransportation solutions

b)b) flexible production allowing full potential flexible production allowing full potential time-based distributiontime-based distribution

c)c) centralized administrative facilities in the centralized administrative facilities in the presence of decentralized distribution presence of decentralized distribution centerscenters

d)d) warehousing systems necessitating a high warehousing systems necessitating a high dependency on safety stockdependency on safety stock

40

Current supply chain trends Current supply chain trends lean towards transportation lean towards transportation

systems that allow:systems that allow:

a)a) inventory to be “pushed back” from inventory to be “pushed back” from retailer or end-user in order to cut retailer or end-user in order to cut holding costsholding costs

b)b) reliable delivery to increase the reliable delivery to increase the requirement of safety stockrequirement of safety stock

c)c) greater customer focus on speed than greater customer focus on speed than consistency consistency

d)d) increased international trade through increased international trade through single-mode capability providerssingle-mode capability providers

41Mentzer p.259

Current supply chain trends Current supply chain trends lean towards transportation lean towards transportation

systems that allow:systems that allow:

a)a) inventory to be “pushed back” from inventory to be “pushed back” from retailer or end-user in order to cut retailer or end-user in order to cut holding costsholding costs

b)b) reliable delivery to increase the reliable delivery to increase the requirement of safety stockrequirement of safety stock

c)c) greater customer focus on speed than greater customer focus on speed than consistency consistency

d)d) increased international trade through increased international trade through single-mode capability providerssingle-mode capability providers

42

Transportation decisions on an Transportation decisions on an operational level involve all operational level involve all

of the following except:of the following except:

a)a) scheduling decisionsscheduling decisionsb)b) routing decisions routing decisions c)c) lead time quotation decisionslead time quotation decisionsd)d) truck loading decisionstruck loading decisionse)e) facility capacity decisionsfacility capacity decisions

Operational = day to day activities... 43Mentzer p.26-(?)

Transportation decisions on an Transportation decisions on an operational level involve all operational level involve all

of the following except:of the following except:

a)a) scheduling decisionsscheduling decisionsb)b) routing decisions routing decisions c)c) lead time quotation decisionslead time quotation decisionsd)d) truck loading decisionstruck loading decisionse)e) facility capacity decisionsfacility capacity decisions

44

Product modification is an Product modification is an additional, yet often additional, yet often

unconsidered, activity unconsidered, activity completed in warehousing.completed in warehousing.

a)a) TrueTrue

b)b) False False

PRODUCT modification... 45Bowersox and Closs p.32

Product modification is an Product modification is an additional, yet often additional, yet often

unconsidered, activity unconsidered, activity completed in warehousing.completed in warehousing.

a)a) TrueTrue

b)b) False False

46

Efficient materials management Efficient materials management is is

relates to all of the following relates to all of the following except:except:

a)a) greater potential for overall warehouse efficiencygreater potential for overall warehouse efficiency

b)b) greater possibilities for reduced direct labor costsgreater possibilities for reduced direct labor costs

c)c) a increased need for automated materials-handling a increased need for automated materials-handling equipmentequipment

d)d) a reduced likeliness the product will be damaged a reduced likeliness the product will be damaged

47Bowersox and Closs p.33

Efficient materials management Efficient materials management is is

relates to all of the following relates to all of the following except:except:

a)a) greater potential for overall warehouse efficiencygreater potential for overall warehouse efficiency

b)b) greater possibilities for reduced direct labor costsgreater possibilities for reduced direct labor costs

c)c) a increased need for automated materials-handling a increased need for automated materials-handling equipmentequipment

d)d) a reduced likeliness the product will be damaged a reduced likeliness the product will be damaged

48

The “duty not to discriminate” The “duty not to discriminate” enforced on carriers applies enforced on carriers applies

most specifically to:most specifically to:

a)a) private carriersprivate carriers

b)b) common carriers common carriers

c)c) contract carrierscontract carriers

d)d) unlimited carriersunlimited carriers

49Coyle, Bardi, and Novack p.66

The “duty not to discriminate” The “duty not to discriminate” enforced on carriers applies enforced on carriers applies

most specifically to:most specifically to:

a)a) private carriersprivate carriers

b)b) common carriers common carriers

c)c) contract carrierscontract carriers

d)d) unlimited carriersunlimited carriers

50

Packaging costs are generally Packaging costs are generally the lowest for which mode of the lowest for which mode of

transportation?transportation?

a)a) motor carriersmotor carriers

b)b) rail carriers rail carriers

c)c) air carriersair carriers

d)d) water carriers water carriers

CHEAPER wrapped, palletized shipments... 51Coyle, Bardi, and Novack p.201

Packaging costs are generally Packaging costs are generally the lowest for which mode of the lowest for which mode of

transportation?transportation?

a)a) motor carriersmotor carriers

b)b) rail carriers rail carriers

c)c) air carriersair carriers

d)d) water carriers water carriers

52

Price Price elasticityelasticity better applies to better applies to which type of air transportation which type of air transportation

??

a)a) leisureleisure

b)b) businessbusiness

c)c) freightfreight

d)d) exemptexempt

Change in demand b/c of change in price... 53Coyle, Bardi, and Novack p.340

Price Price elasticityelasticity better applies to better applies to which type of air transportation which type of air transportation

??

a)a) leisureleisure

b)b) businessbusiness

c)c) freightfreight

d)d) exemptexempt

54

Which of the following is an Which of the following is an example of a utilizable route of example of a utilizable route of long distance transportation?long distance transportation?

a)a) all-waterall-waterb)b) land bridge land bridge c)c) mini-bridge mini-bridge d)d) micro-bridge micro-bridge e)e) all of the above are examples of all of the above are examples of

long distance transportation routes long distance transportation routes

55Coyle, Bardi, and Novack p.287-290

Which of the following is an Which of the following is an example of a utilizable route of example of a utilizable route of long distance transportation?long distance transportation?

a)a) all-waterall-waterb)b) land bridge land bridge c)c) mini-bridge mini-bridge d)d) micro-bridgemicro-bridge e)e) all of the above are examples of all of the above are examples of

long distance transportation routes long distance transportation routes

56

NVOCC carriers would best be NVOCC carriers would best be described as forwarders who:described as forwarders who:

a)a) book space on an air carrier’s plane and book space on an air carrier’s plane and solicit freight from numerous shippers to fill solicit freight from numerous shippers to fill the spacethe space

b)b) consolidate shipments with many others and consolidate shipments with many others and gain the economies of container movement gain the economies of container movement

c)c) act as middlemen between the tramp ship act as middlemen between the tramp ship owner and a chartering shipper or receiver owner and a chartering shipper or receiver

d)d) act as agents for shippers by applying act as agents for shippers by applying familiarity and expertise with ocean shipping familiarity and expertise with ocean shipping to facilitate through movementto facilitate through movement

Nonvessel Operating Common Carriers... 57Coyle, Bardi, and Novack p.286-287

NVOCC carriers would best be NVOCC carriers would best be described as forwarders who:described as forwarders who:

a)a) book space on an air carrier’s plane and book space on an air carrier’s plane and solicit freight from numerous shippers to fill solicit freight from numerous shippers to fill the spacethe space

b)b) consolidate shipments with many others and consolidate shipments with many others and gain the economies of container movement gain the economies of container movement

c)c) act as middlemen between the tramp ship act as middlemen between the tramp ship owner and a chartering shipper or receiver owner and a chartering shipper or receiver

d)d) act as agents for shippers by applying act as agents for shippers by applying familiarity and expertise with ocean shipping familiarity and expertise with ocean shipping to facilitate through movementto facilitate through movement

58

Economies of scale best apply Economies of scale best apply to which of the following to which of the following transportation modes?transportation modes?

a)a) trucktruck

b)b) railrail

c)c) waterwater

d)d) both rail and waterboth rail and water

59

Economies of scale best apply Economies of scale best apply to which of the following to which of the following transportation modes?transportation modes?

a)a) trucktruck

b)b) railrail

c)c) waterwater

d)d) both rail and waterboth rail and water

60

Which of the following is not a Which of the following is not a classification of carriers?classification of carriers?

a)a) contractcontract

b)b) privateprivate

c)c) exceptionexception

d)d) commoncommon

e)e) exemptexempt

61

Which of the following is not a Which of the following is not a classification of carriers?classification of carriers?

a)a) contractcontract

b)b) privateprivate

c)c) exceptionexception

d)d) commoncommon

e)e) exemptexempt

62

3 major determinants of 3 major determinants of warehouse location are:warehouse location are:

a)a) Customer location, manufacturing location, and product Customer location, manufacturing location, and product requirementsrequirements

b)b) Manufacturing location, forecasting capability, and supplier Manufacturing location, forecasting capability, and supplier requirementsrequirements

c)c) Forecasting capability, product requirements, and Forecasting capability, product requirements, and administrative perceptionsadministrative perceptions

d)d) Customer satisfaction, product damage rates, and packaging Customer satisfaction, product damage rates, and packaging capabilitycapability

63Bowersox and Closs p.499

3 major determinants of 3 major determinants of warehouse location are:warehouse location are:

a)a) Customer location, manufacturing location, and product Customer location, manufacturing location, and product requirementsrequirements

b)b) Manufacturing location, forecasting capability, and supplier Manufacturing location, forecasting capability, and supplier requirementsrequirements

c)c) Forecasting capability, product requirements, and Forecasting capability, product requirements, and administrative perceptionsadministrative perceptions

d)d) Customer satisfaction, product damage rates, and packaging Customer satisfaction, product damage rates, and packaging capabilitycapability

64

Intermediately positioned Intermediately positioned warehouses are most often warehouses are most often

located between:located between:

a)a) suppliers and customerssuppliers and customers

b)b) customers and manufacturing plantscustomers and manufacturing plants

c)c) customers and the ultimate end-usercustomers and the ultimate end-user

d)d) suppliers and manufacturing plantssuppliers and manufacturing plants

65Bowersox and Closs p.501

Intermediately positioned Intermediately positioned warehouses are most often warehouses are most often

located between:located between:

a)a) suppliers and customerssuppliers and customers

b)b) customers and manufacturing plantscustomers and manufacturing plants

c)c) customers and the ultimate end-usercustomers and the ultimate end-user

d)d) suppliers and manufacturing plantssuppliers and manufacturing plants

66

As a function, as a firm’s As a function, as a firm’s number number

of warehouses increases, their of warehouses increases, their transportation costs will forever transportation costs will forever

continue on a _________ pattern.continue on a _________ pattern.

a)a) upwardupward

b)b) downwarddownward

c)c) neitherneither

67Bowersox and Closs p.504

As a function, as a firm’s As a function, as a firm’s number number

of warehouses increases, their of warehouses increases, their transportation costs will forever transportation costs will forever

continue on a _________ pattern.continue on a _________ pattern.

a)a) upwardupward

b)b) downwarddownward

c)c) neitherneither

68

The addition of warehousing The addition of warehousing facilities facilities

will generally reduce total will generally reduce total in-transit days, thus…in-transit days, thus…

a)a) reducing the need for I.T.reducing the need for I.T.

b)b) increasing the number of early increasing the number of early deliveriesdeliveries

c)c) eliminating the need for safety stockeliminating the need for safety stock

d)d) reducing warehouse inventory levelsreducing warehouse inventory levels

69Bowersox and Closs p.506

The addition of warehousing The addition of warehousing facilities facilities

will generally reduce total will generally reduce total in-transit days, thus…in-transit days, thus…

a)a) reducing the need for I.T.reducing the need for I.T.

b)b) increasing the number of early increasing the number of early deliveriesdeliveries

c)c) eliminating the need for safety stockeliminating the need for safety stock

d)d) reducing warehouse inventory levelsreducing warehouse inventory levels

70

Which of the following is not Which of the following is not a type of railroad car?a type of railroad car?

a)a) plain boxcarplain boxcar

b)b) open tank caropen tank car

c)c) covered hopper carcovered hopper car

d)d) gondola cargondola car

e)e) equipped boxcarequipped boxcar

71Coyle, Bardi, and Novack p.171

Which of the following is not Which of the following is not a type of railroad car?a type of railroad car?

a)a) plain boxcarplain boxcar

b)b) open tank caropen tank car

c)c) covered hopper carcovered hopper car

d)d) gondola cargondola car

e)e) equipped boxcarequipped boxcar

72

Benefits of air freight Benefits of air freight forwarders include:forwarders include:

a)a) Speed of serviceSpeed of service

b)b) lower rates for all shipperslower rates for all shippers

c)c) multi-mode carriersmulti-mode carriers

d)d) ““low price” stabilitylow price” stability

73Coyle, Bardi, and Novack p.268 & 286

Benefits of air freight Benefits of air freight forwarders include:forwarders include:

a)a) Speed of serviceSpeed of service

b)b) lower rates for all shipperslower rates for all shippers

c)c) multi-mode carriersmulti-mode carriers

d)d) ““low price” stabilitylow price” stability

74

Vehicle weight should be Vehicle weight should be __________ __________

in relation to gross weight.in relation to gross weight.

a)a) minimizedminimized

b)b) maximizedmaximized

c)c) equalizedequalized

d)d) jazzercisedjazzercised

75Coyle, Bardi, and Novack p.400

Vehicle weight should be Vehicle weight should be __________ __________

in relation to gross weight.in relation to gross weight.

a)a) minimizedminimized

b)b) maximizedmaximized

c)c) equalizedequalized

d)d) jazzercisedjazzercised

76

Cost trade-offs between Cost trade-offs between inventory and transportation inventory and transportation

are generally minimal.are generally minimal.

a)a) TrueTrue

b)b) FalseFalse

c)c) Irrelevant - lack of Irrelevant - lack of relatednessrelatedness

... generally SIGNIFICANT! 77

Cost trade-offs between Cost trade-offs between inventory and transportation inventory and transportation

are generally minimal.are generally minimal.

a)a) TrueTrue

b)b) FalseFalse

c)c) Irrelevant - lack of Irrelevant - lack of relatednessrelatedness