Freight Transportation Exam Solutions
Course Introduction
Freight Transportation explores the systems and processes involved in the movement of goods by land, air, and sea. The course examines fundamental concepts in logistics, supply chain management, and transportation modes, evaluating their roles in global and domestic trade. Students will analyze freight operations, network design, cost structures, regulatory environments, and technological advancements influencing the industry. Real-world case studies and current trends are used to illustrate challenges and solutions in freight transportation planning, management, and sustainability.
Recommended Textbook
Transportation A Global Supply Chain Perspective 8th Edition by John J. Coyle
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14 Chapters
547 Verified Questions
547 Flashcards
Source URL: https://quizplus.com/study-set/717
Page 2
Chapter 1: Global Supply Chains: The Role and Importance of Transportation
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35 Verified Questions
35 Flashcards
Source URL: https://quizplus.com/quiz/14011
Sample Questions
Q1) Describe the three phases of development for supply chain concept.
Answer: The three phases are: physical distribution,business logistics,and supply chain management.Physical distribution was developed during the 1960s with a focus on the outbound side of a producer.In other words,after a product was produced until it reached the customer with a focus upon minimizing the total cost of that phase.Business logistics added the inbound side with a continued focus upon lowest total cost.The third phase was supply chain management which focused on the extended enterprises and the three major flows-products,information and cash.
Q2) What factors have accounted for growth in the volume of global trade?
Answer: A number of factors came into play including economic growth,trade agreements,lower tariffs and a greater acceptance of importing finished products that were manufactured in other countries as opposed to only importing raw materials
Q3) Why was the development of the internet such an important external change agent?
Answer: It made information available in real time to large segments of the population via their personal computers and other devices.
Q4) What is a megacity?
Answer: A relatively new term to describe cities with populations over 10 million.
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Chapter 2: Transportation: The Critical Link in the Economy
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35 Verified Questions
35 Flashcards
Source URL: https://quizplus.com/quiz/14013
Sample Questions
Q1) Explain place utility.
Answer: Place utility refers to the value of an article "where" it is located and/or needed.For example a bottle of water is worth about a dollar if you are standing next to a machine that sells water for a dollar.But how much is a bottle of water worth if you are out of water and in the middle of a hot desert? The same bottle has different values depending on the place.The more efficient a transportation system the lower the landed cost associated with a product and expand market areas and improve profits.
Q2) Explain modalsplit and its importance.
Answer: Modalsplit is an analytical tool used to study and analyze the total transportation market for passenger and freight transport according to volume and mode.For passenger transportation more than 77 percent of the passenger mile traffic is private highway traffic.Since 1970 air travel has decreased in relative cost,as such air traffic passenger miles has increased,but it is still relatively small.Looking at freight,intercity modal split is dominated by trucks.Since 1990,rail share has increased in ton-miles due to the rising cost of fuel,but the lower cost recently has aided motor carriers.
Q3) What was the purpose of the Kelly Act?
Answer: Grant airmail contracts to private carriers
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4
Chapter 3: Transportation Regulation and Public Policy
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42 Verified Questions
42 Flashcards
Source URL: https://quizplus.com/quiz/14012
Sample Questions
Q1) Which legal system is based upon the Roman legal system?
A) Statutory law
B) judicial memory
C) common law
D) common market
Answer: A
Q2) What is a "per se" violation under Anti-trust law?
Answer: A per se violation is a type of violation that is illegal,regardless if any economic harm is done to competitors or other parties.
Q3) Domestic water carriers have received two major forms of federal promotion.They are:
A) research that led to bigger and more powerful tugboats
B) subsidies to plants that located on rivers to use barges
C) the work done by the Army Corp of Engineers and the Coast Guard
D) exempting water carrier from regulation and ice breakers on the Mississippi River
Answer: C
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Page 5
Chapter 4: Costing and Pricing in Transportation
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41 Verified Questions
41 Flashcards
Source URL: https://quizplus.com/quiz/14014
Sample Questions
Q1) What is the current status of rates under deregulation?
Q2) Describe the three categories of the major pricing decisions made by carriers.
Q3) Which of the following is not a condition for pure competition?
A) Large number of sellers
B) Sellers are small enough that no one can overly influence the market
C) Involves a heterogeneous product or service
D) Unrestricted entry
Q4) For the theory of contestable markets to work,four conditions have to be met: no barriers to market entry,no economies of scale present,consumer willingness to switch between carriers,and
A) sellers and buyers of such small size that price or supply cannot be influenced.
B) existing carriers prevented from responding to new entrants' lower prices.
C) mutual interdependence between various sellers.
D) no one seller controls a significant portion of the market.
Q5) Define and discuss Cost of Service Pricing.
Q6) What are the most common mistakes in carrier pricing?
Q7) Define pricing objectives,and give 3 of the 7 types of pricing objectives listed in the book
Q8) How does one determine a class rate?
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Chapter 5: Motor Carriers
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39 Verified Questions
39 Flashcards
Source URL: https://quizplus.com/quiz/14016
Sample Questions
Q1) The trucking industry is characterized as having:
A) small investment requirements
B) easy sources of financing
C) high variable and low fixed costs
D) costly government requirements
Q2) The decision as to terminal location:
A) is relatively more difficult for trucking than other modes
B) is concerned with whether it is to be a line haul or PUD facility
C) is based on whether it is to serve a truckload or LTL carrier
D) is comparatively simple when contrasted with other management decisions
Q3) Discuss the current method of funding for highways and include your opinion as the fairness as it relates to the trucking industry.
Q4) What do the users of truck service benefit from?
A) lower inventory levels due to smaller shipments that other modes
B) trailers come in a variety of configurations which fit to most types of freight
C) the fact that drivers will load and unload shipments
D) They are the largest of the five modes
Q5) Several significant issues currently face the motor carriers.Pick two,define and discuss.
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Chapter 6: Railroads
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50 Verified Questions
50 Flashcards
Source URL: https://quizplus.com/quiz/14017
Sample Questions
Q1) Railroads are:
A) more energy efficient than most other modes
B) more likely to haul energy producing materials than other modes
C) not as energy efficient as most other modes
D) buying more energy efficient locomotives
Q2) What was the purpose of the legislation which created Amtrak?
A) It relieved railroads from the responsibility of providing passenger service
B) It allowed the government to provide service without concern for profit
C) It allowed the states to take over commuter service
D) It allowed the railroads to get rid of track that was only used by passenger trains
Q3) The major cost element borne by the railroad industry is the:
A) Rolling Stock
B) Fuel costs
C) Rights of way
D) Insurance
Q4) Piggyback service was designed for increase service levels to intermodal customers.What are the characteristics of this traffic?
Q5) Standard track gauge is defined as?
Q6) Discuss some of the elements of rail road industry's cost structure
Page 8
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Chapter 7: Airlines
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50 Verified Questions
50 Flashcards
Source URL: https://quizplus.com/quiz/14018
Sample Questions
Q1) If aviation fuel is at $2.60 a gallon,what is the price of fuel consumed per hour on a B747?
A) $2,000
B) $6,822
C) $7,163
D) $8,869
Q2) How much did the U.S.airlines spend on fuel in 2014?
A) $60B
B) $46.3B
C) $50M
D) $60M
Q3) What is the primary method of service competition between air carriers?
A) frequency and timing
B) in flight cabin service and added amenities.
C) serving new cities to force more competition
D) Advertising
Q4) Describe the nature of service competition in the airlines.
Q5) What is the primary advantage of air transportation?
Q6) Give an example of emergency value.
Q7) What is a no frills carrier is known for?
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Chapter 8: Water Carriers and Pipelines
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45 Verified Questions
45 Flashcards
Source URL: https://quizplus.com/quiz/14019
Sample Questions
Q1) Public aid is given the water carriers in the form of waterway construction,development and maintenance.How do the water carriers repay the government for the aid received?
A) by agreeing to haul government traffic free of charge
B) by paying a 25 percent surcharge on their income taxes
C) by paying user charges in the form of lock fees and fuel taxes
D) no repayment is made, all the aid offered is free of charge since both commercial carriers and private citizens use the waterways for business and pleasure
Q2) Which of the following is not a commodity that water and rail competes to move?
A) grain
B) coal
C) oil
D) chemicals
Q3) According to the U.S.Department of Transportation what is the total investment in pipeline?
Q4) The most widely know case of drugs and/or alcohol resulting in a transportation disaster is?
Q5) Define,describe and discuss the nature of intramodal and intermodal competition for pipelines.
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Chapter 9: Transportation Risk Management
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35 Verified Questions
35 Flashcards
Source URL: https://quizplus.com/quiz/14020
Sample Questions
Q1) What is the final step in risk management?
A) Reviewing and monitoring
B) Reduction
C) Identification
D) Analysis
Q2) What is the objective of risk assessment?
Q3) Define disruption and risk in general terms and in terms of transportation
Q4) Which of the following is not one of the four steps in the risk management process?
A) Identify the risk
B) Analyze the risk
C) Manage the risk
D) Cost the risk mitigation
Q5) A deliberate product contamination risk is called?
A) Tampering
B) Climate control failure
C) Exposure to contaminants
D) Hedging
Q6) Business continuity planning is defined as:
Q7) Describe the six common risk categories related to freight transportation.
11
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Chapter 10: Global Transportation Planning
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35 Verified Questions
35 Flashcards
Source URL: https://quizplus.com/quiz/14021
Sample Questions
Q1) Which of the following Terms of Payment has the least risk to the seller?
A) Letter of Credit
B) Cash in Advance
C) Letter of Credit.
D) Open Account
Q2) Describe the importance of global route planning.
Q3) What is the purpose of Incoterms?
Q4) What is the purpose of the North American Free Trade Agreement? How has it impacted trade between the U.S. ,Canada and Mexico?
Q5) With respect to global transportation,economic downturns ____.
A) Lead to increased transportation demand and rates.
B) Lead to decreased transportation demand and rates.
C) Have no impact on transportation demand and rates.
D) Cause shippers to shy away for international trade.
Q6) Which of the following is a distribution channel activity in global transportation?
A) Transfer of ownership
B) Documentation of freight
C) Carrier and route selection
D) Timely information sharing
12
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Chapter 11: Global Transportation Execution
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35 Verified Questions
35 Flashcards
Source URL: https://quizplus.com/quiz/14022
Sample Questions
Q1) Discuss the major challenges of seaport operations in their quest to remain competitive.
Q2) On a value basis,what percentage of intercontinental containerized trade volume is moved by ocean?
A) 80%
B) 60%
C) 98%
D) 72%
Q3) Containerships are built specifically for the purpose of moving:
A) 20 and 30 feet containers
B) 30 and 40 feet containers
C) 30 and 53 feet containers
D) 20 and 40 feet containers
Q4) What type of freight must be handled individually and transferred between transportation equipment multiple times?
A) Transload freight
B) Containerized freight
C) Intermodal freight
D) Landbridge freight
Q5) Describe the customs clearing process.
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Chapter 12: Third Party Logistics
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35 Verified Questions
35 Flashcards
Source URL: https://quizplus.com/quiz/14023
Sample Questions
Q1) This step in establishing and sustaining a 3PL relationship involves determining your area of core competency and how a 3PL may help you create a competitive advantage.
A) Strategic assessment
B) Decision to form relationship
C) Evaluation of alternatives
D) Structuring of an operating model
Q2) Describe the potential strategic needs of 3PL users.
Q3) Which strategic requirement involves 3PLs supporting home delivery,manufacturer direct delivery,and alternate site delivery?
A) International expertise
B) Sustainability knowledge
C) Omni-channel agility
D) Talent availability
Q4) Companies may smartly outsource all of the following except:
A) Information technology
B) Core activities
C) Manufacturing
D) Logistics
Q5) Describe the strengths and weakness of an asset based 3PL.
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Chapter 13: Private Transportation and Fleet Management
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35 Verified Questions
35 Flashcards
Source URL: https://quizplus.com/quiz/14024
Sample Questions
Q1) Explain the advantages and disadvantages of private trucking.Why do firms have private trucking fleets?
Q2) Which of the following is not a performance criterion for evaluating and controlling a private fleet?
A) miles operated (empty and full)
B) human resource hours
C) vehicle operating hours
D) total gallons of fuel used by entire fleet
Q3) Which of the following is not an advantage of private trucking?
A) Elimination of carrier profit
B) Reduction in inventory levels
C) Union presence
D) For hire authority to back haul
Q4) Discuss the nature of the competition in the motor carrier industry since the Motor Carrier Act of 1980.
Q5) What is the reason private fleets have better driver retention?
Q6) Discuss leasing as an option for private trucking.
Q7) Describe private rail transportation.
Q8) Insurance costs are made up of:
Q9) License and registration cost are determined by? Page 15
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Page 16
Chapter 14: Issues and Challenges of Global Supply Chains
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35 Verified Questions
35 Flashcards
Source URL: https://quizplus.com/quiz/14015
Sample Questions
Q1) The railroads shortfall over the next 20 years for infrastructure is about?
A) $10 billion
B) $20 billion
C) $30 billion
D) $50 billion
Q2) The cost of congestion on the highways to the U.S.Trucking Industry is about?
A) $1 billion/year
B) $5 billion/year
C) $50 billion/year
D) $7 billion/year
Q3) What was the primary response of carriers when dealing with fuel price increases?
A) Increase rates per pound of cargo
B) Use of fuel surcharges
C) Reduction of capacity
D) Increasing capacity
Q4) What type of service has the rail industry seen a significant increase in demand for?
Q5) Describe the impact of fuel on the airline industry.
Q6) Discuss the cost of congestion in the transportation system?
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