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[General] Use L4M7 Exam Questions [2026]-Best Preparation Material

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【General】 Use L4M7 Exam Questions [2026]-Best Preparation Material

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CIPS Whole Life Asset Management Sample Questions (Q178-Q183):NEW QUESTION # 178
Nuclear Energy Group Limited (NEG) has a number of investment options currently under appraisal. As these are all long-term investments (more than 30 years), NEG is adopting a total cost of ownership approach. It has gathered data on all associated costs over the life of the investment. Which of the following will be regarded as end-of-life costs?
  • A. Servicing costs
  • B. Decommissioning costs
  • C. Insurance costs
  • D. Installation costs
Answer: B

NEW QUESTION # 179
Which of the following is the character that allows the computer to verify whether a product code is entered correctly?
  • A. 3-digit prefix
  • B. Barcode
  • C. Radio frequency identification
  • D. Check digit
Answer: D
Explanation:
Many codes have integrated check digits. These are additional numbers or characters added to codes that a computer uses to verify the number is valid. The intention is to reduce the likelihood of miskeying an item and hitting an alternative live item. More often, a system is devised which a computer can calculate using combination of numbers.
Barcode is a graphic symbol used to convey data. Typically the characters in a barcode symbol consist of bars
/space pattern. Barcode is the method of representing data in a visual, machine-readable form. Initially barcodes represented data by varying the width and spacing of parallel lines.
Radio-frequency identification (RFID) uses electromagnetic fields to automatically identify and track tags attached to objects.
A prefix is an affix which is placed before the stem of a word or a string. A product code may have prefix which indicates its group, country, origins, etc.

NEW QUESTION # 180
What are the contents of master production schedule in MRP system?
  • A. How many final products will be made and when to make them
  • B. The investment required for production
  • C. The total number of labour required to produce the final product
  • D. What components and materials are and when to purchase them
Answer: A
Explanation:
A master production schedule (MPS) is a plan for individual commodities to be produced in each time period such as production, staffing, inventory, etc.[1] It is usually linked to manufacturing where the plan indicates when and how much of each product will be demanded.[2] This plan quantifies significant processes, parts, and other resources in order to optimize production, to identify bottlenecks, and to anticipate needs and completed goods. Since a MPS drives much factory activity, its accuracy and viability dramatically affect profitability. Typical MPSs are created by software with user tweaking.
Reference:
LO 2, AC 2.3

NEW QUESTION # 181
Manufacturing resources planning (MRP II) was developed from material requirement planning (MRP).
Which of the following is the additional input that is available in MRP II but does not ap-pear in MRP?
  • A. Master production schedule
  • B. Finance
  • C. Inventory records
  • D. Bill of materials
Answer: B
Explanation:
MRP I was some of the first business software to be widely adopted during the 1970s. Manufacturers sought these systems in order to improve efficiency and accuracy when it came to basic processes such as production scheduling and inventory management.
By the 1980s, manufacturers realized they needed software that could also tie into their accounting systems and forecast inventory requirements. Enter MRP II, which included these integrations in addition to all the capabilities offered by MRP I. Enterprise resource planning (ERP) software features-which we'll cover later on-are included in the following table for comparison.
Graphical user interface Description automatically generated


NEW QUESTION # 182
Which of the following are features of dependent demand items of stock?
* They depend on the production levels of the user departments
* They depend on the production capacity of the supplier
* They can be managed using JIT (Just-in-Time) systems
* They become obsolete within a short time
  • A. 1 and 3 only
  • B. 2 and 3 only
  • C. 1 and 2 only
  • D. 3 and 4 only
Answer: A
Explanation:
Dependent demand items rely on the internal production requirements of an organization. These items:
* Depend on user department production levels: Demand is driven by the needs of the production line.
* Can be managed using JIT systems: Just-in-Time inventory helps optimize stock levels based on immediate production needs, reducing holding costs and minimizing waste.
Dependent demand items differ from independent demand items, where demand is customer-driven rather than production-driven, emphasizing demand predictability and timely procurement.

NEW QUESTION # 183
......
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