1. Which of the following plans has the longest planning horizon and the least level of detail?

a. aggregate production plan

b. material requirements planning

c. master production schedule

d. all of the above have the same level of detail

e. none of the above

2. In terms of INCREASING level of detail, which is the best sequence of activities?

I. Material requirements planning.

II. Master production scheduling.

III. Aggregate production planning.

a. I, II and III

b. I, III, and II

c. II, III, and I

d. II, I, and III

e. III, II, and I

3. Which of the following is NOT true of the average costing method?

A. It does not consider demand

B. It can be inaccurate, so it should not be used

C. It is easy to estimate

D. It demonstrates a relationship between unit cost and sales forecast