Exam INTE Topic 1 Question 25 Discussion
Actual exam question for ISM's INTE exam
Question #: 25
Topic #: 1
Question #: 25
Topic #: 1
A sourcing manager needs to outsource production in order to meet demand for a specific product. The internal production schedule and forecasted sales have been provided for the next nine months. Internal production follows a level schedule of 4,000 units per month and up to 7,000 units may be stored in inventory.
There is no beginning inventory for January. During what month(s) will outsourced production be required to meet forecasted sales?
MonthJanFebMarAprMayJunJulAugSep
Unit Sales3,0003,0004,0001,0009,0005,0004,0003,0005,000
There is no beginning inventory for January. During what month(s) will outsourced production be required to meet forecasted sales?
MonthJanFebMarAprMayJunJulAugSep
Unit Sales3,0003,0004,0001,0009,0005,0004,0003,0005,000
Suggested Answer: D Vote an answer
Outsourcing is required in May, June, and September to meet sales forecasts. Internal production is capped at
4,000 units per month, and inventory can buffer only up to 7,000 units. The high sales months exceed these capacities, necessitating additional outsourcing.
4,000 units per month, and inventory can buffer only up to 7,000 units. The high sales months exceed these capacities, necessitating additional outsourcing.
by Camille at Jun 26, 2025, 03:57 AM
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