Chapter 13: Transportation Management (Multi)

33. A ____ provides a variety of shipment information such as shipment preparation, freight invoicing, a list of preferred carriers, and a list of which carrier or carriers to use for shipments moving between two points.

b. routing guide

11. ____ refers to how easy a commodity is to pack into a load.

b. stowability

21. Each of the following is true, except ____.

b. the bill of lading adds to the complexity of the transportation manager's job

16. Which of the following is not a possible payment option (terms of sale) for U.S. domestic shipments?

a. FOB origin, freight collect and charged back

18. Which of the following tends to be the most important factor in carrier selection?

e. none of the above

24. What is the time limitation within which a freight claim must be filed?

c. nine months from delivery date

23. An invoice submitted by the carrier requesting to be paid is ____.

a. a freight bill

7. A(n) ____ rate simplifies each of the three primary rate factors—product, weight, and distance.

a. class

30. Which of the following statements is false?

a. detention is similar to demurrage, except that detention applies to pipelines

35. ____ refers to rapidly moving a shipment through a carrier's system.

a. expediting

14. In the class rate system, freight rates are expressed in dollars or cents per ____.

a. hundredweight

1. ____ refers to the buying and controlling of transportation services by either a shipper or consignee.

a. transportation management

12. Liability for loss and damage is one factor used to determine a product's freight classification. Which of the following is not a loss and damage consideration?

b. ability to load freight on top of a commodity

20. The most important single transportation document is the ____.

b. bill of lading

4. Which of the following is not one of the three primary factors that transportation rates are based upon?

b. density

13. With respect to a commodity's freight classification, shippers tend to prefer a ____ classification number and carriers tend to prefer a ____ classification number.

b. lower, higher

5. Weight times rate equals ____.

b. transportation cost

29. Demurrage charges are collected by railroads, ____, and ____.

b. water carriers, pipelines

31. U.S. freight railroads currently allow ____ hours of free time for unloading railcars and ____hours of free time for loading railcars.

c. 48, 24

9. The National Motor Freight Classification currently has 18 separate ratings, or classes, that range for Class 50 to Class ____

c. 500

6. A(n) ____ rate refers to a specific rate for every possible combination of product, weight, and distance.

c. commodity

3. ____ signifies the price charged for freight transportation.

c. rate

17. With FOB destination, freight prepaid ____.

c. the seller pays the freight charges and owns the goods in transit

27. Small shipments are defined as those that ____.

c. weigh more than 150 pounds but less than 500 pounds

22. An order bill of lading is used ____.

c. when a shipment is started before the buyer is known

19. A(n) ____ refers to a transportation manager who purchases a prespecified level of transportation service and is indifferent to the mode and carrier used to provide the transportation service.

d. amodal shipper

10. ____ refers to how heavy a product is in relation to its size.

d. density

32. ____ can be defined as the process of determining how a shipment will be moved between origin and destination.

d. routing

25. Which of the following is false?

d. shippers or carriers are entitled to a product's full retail value when filing a freight claim

15. Suppose that a particular item is Class 200 according to the National Motor Freight Classification. What is the relationship between this item's rate and the rate for an item in Class 100?

d. the class 200 rate is higher than the class 100 rate

26. If a product destroyed or damaged in transit is intended to be placed into general replacement inventory, then the retailer would likely receive ____.

d. the wholesale price, plus freight if previously paid

34. ____ refers to determining a shipment's location during the course of its move.

d. tracking

2. In general terms, ____ accounts for about 6% of U.S. gross domestic product.

d. transportation

8. Which of the following is not a factor used to determine a product's classification?

e. all of the above are factors used to determine a product's classification

28. Which of the following statements is false?

e. all of the above are true