

Freight Transportation Systems Test
Bank
Course Introduction
Freight Transportation Systems explores the fundamental principles, structures, and operations of moving goods via various modes including road, rail, air, and water. The course examines the supply chains logistics, infrastructure, cost analysis, regulatory frameworks, and modern technological innovations influencing freight efficiency. Students will analyze regional and global freight networks, understand intermodal transport, and consider environmental and policy impacts on transportation systems. Practical case studies and contemporary challenges such as digitalization, sustainability, and risk management are also discussed to provide a comprehensive understanding of the field.
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) Forward information in the supply chain is utilized to provide:
A) Advanced shipment notices
B) Order status
C) Inventory availability
D) All of the above
Answer: D
Q2) What are the two important dimensions of technology?
Answer: Technology can be viewed as internal agent of change for organizations and also an external change agent.
Q3) Differentiate between absolute and comparative advantage.
Answer: While both concepts provide a rationale for trade between regions or countries,there is a difference.Absolute advantage postulates the trade is beneficial when the two regions or countries each have an advantage in producing one of two products in terms of cost.Absolute advantage recommends that they each produce the one product where they have the advantage and then trade which will be mutually beneficial.Whereas comparative advantage postulates that even if one country or region has a low cost advantage for both products,trade can be beneficial if the low cost country has a comparative advantage in one of the products
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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) What is a major reason for lower freight transportation cost?
A) more efficient use of equipment
B) lower demand
C) higher fuel prices
D) driver shortage
Answer: A
Q2) In terms of average house hold expenses,transportation is:
A) First
B) Second
C) Third
D) Last
Answer: B
Q3) Explain how transportation can contribute to the economic value of a product.
Answer: Transportation cost has an important impact on the level of demand that a commodity will have.As transportation costs increase,demand for a product will generally go down (this is especially true the more elastic the demand).For example,if a commodity cost $10 to purchase and people in a certain part of the country are willing to pay $12 for that commodity that commodity can only be sold if the transportation cost is less than $2 per unit sold.On the other hand,decreases in transportation cost can expand this market area and increase demand.
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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) 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.
Q2) The Interstate Commerce Commission (ICC)is usually described as:
A) an arm of the Congress
B) an expert body providing a continuity to regulation that neither the courts nor legislature could do.
C) the reason that the railroad industry was in such poor condition prior to 1980
D) an agency with somewhat limited powers
Answer: B
Q3) What law allowed collective rate making by the transportation carriers?
A) The Sherman anti-trust act of 1890
B) The Clayton Act of 1914
C) The Reed-Bulwinkle Act of 1948
D) The Robinson-Patman Act of 1936
Answer: C
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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) Local rates are:
Q2) Third degree price discrimination is defined as:
A) While rarely prosecuted, it is illegal and a misdemeanor versus a felony as defined by the Surface Transportation Board Act
B) charging different prices to different buyers who use the same commodity or service
C) permissible only when the buyer has requested rebates
D) the least serious type of discrimination as versus first degree
Q3) Define and discuss variable or marginal cost.
Q4) Distinguish between the terms "rate" and "price" as they relate to transportation?
Q5) Three necessary conditions must be met before a seller can practice third-degree price discrimination.The conditions are: buyers must be separated into groups or submarkets according to their elasticities of demand,the seller must possess some degree of monopoly power,and
A) the seller must prevent transfer of sales between the groups or submarkets.
B) the seller must have "market dominance".
C) the buyer must have profit maximization as a goal.
D) the buyer must have variable costs that have to be recovered.
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Page 6

Chapter 5: Motor Carriers
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39 Verified Questions
39 Flashcards
Source URL: https://quizplus.com/quiz/14016
Sample Questions
Q1) Define whether a motor carrier's costs are more fixed or variable.Explain your answer.
Q2) Where does funding for highways come from?
A) income taxes
B) highway user taxes
C) state income taxes
D) block grants from the federal government
Q3) Which agency within the Department of Transportation governs specifications of trucks such as number of lights,tires and other operating parts?
A) Surface Transportation Board
B) National Highway Traffic Safety Board
C) Federal Highway Administration
D) Federal Motor Carrier Safety Administration
Q4) What is the current status of the rules covering drivers' hours of service?
Q5) What type of trailer can be coupled in twos and threes?
A) 53 foot
B) 48 foot
C) 28 foot
D) no trailer can be hooked in a series of three
Q6) Explain the difference between for- hire and a private carriers.
Page 7
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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) How many Class 1 rail companies are there?
A) 5
B) 7
C) 66
D) 18
Q2) Describe some of the strengths of the rail industry.
Q3) What commodity accounted for 6,204,000 railcar loads in 2012?
A) Nonmetallic minerals
B) Food
C) Farm products
D) Coal
Q4) Describe the various types of rail company rolling stock.
Q5) Abandonments have reduced the total track mileage by 50 percent since 1929.Why did these abandonments occur? What have been at least two outgrowths of this abandonment trend? Does any government agency oversee railroad abandonments?
Q6) What are the three major classifications of labor on railroads?
Q7) Discuss the legislative reform which has occurred since 1973.How did each new law impact the railroad industry? You need not include the legislation which started Amtrak.
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) What is the situation as related to airline labor? Be sure to include required skill levels,wages and the impact of unions.
Q2) Which aircraft has the highest cargo payload in terms of tons?
A) B747-300
B) B747-F
C) MD-11
D) L1011
Q3) How many people were employed in the air carrier industry in 2013?
A) 100,000
B) 500,997
C) 330,722
D) over 1,000,000
Q4) Which air carrier had the highest revenue passenger miles in 2013?
A) American
B) United
C) Southwest
D) Alaska
Q5) Technically,what is a commuter airline?
Q6) What is a no frills carrier is known for?
Q7) Distinguish between private air carriers and for-hire air carriers.
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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) Which two factors have contributed to joint ownership of large-diameter pipelines?
A) high variable costs of ownership and low rates
B) economies of scale and high fixed costs of ownership
C) government regulation and development funds
D) rail competition and the growth of domestic water transport
Q2) The Supreme Court decided that the pipelines are required to operate as common carriers if a shipper of oil demands their services.This decision is known as the:
A) Standard Oil Case.
B) Alaska North Slope Case.
C) Champlin Oil Case.
D) Hepburn Case.
Q3) Explain the ownership patterns of the pipelines.
Q4) What is are at least two of the unique aspects of the pipeline industry?
Q5) Which is the first major classification of water carriers?
A) company-owned and exempt carriers
B) for hire and private carriers
C) exempt and private carriers
D) regulated and exempt carriers
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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) Describe the six common risk categories related to freight transportation.
Q2) What is the term for an external supplier that perform all or part of an organizations logistics services?
A) Freight forwarder
B) Consultant
C) Third party logistics service provider (3PL)
D) Just in time provider
Q3) Supply chain disruptions can result in:
A) Increased stock price
B) Lower operating performance
C) Decreased stock price
D) Higher return on assets
Q4) The Maritime Transportation Security Act of 2002 is intended to:
A) Protect U.S. ports and waterways from terrorist attack
B) Reduce the threat that a maritime container will be used to deliver a weapon
C) Streamline cargo manifests
D) Establish ocean based power generation
Q5) The objectives of the risk management process are:
Q6) How can countries promote a more secure transportation system?
Q7) Describe the four step risk management process.
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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) What is a Maquiladora plant? What is its primary purpose?
Q2) Export preparation activities include:
A) Carrier and route selection
B) Order fulfillment and packing
C) Production of goods
D) Trade terms selection
Q3) When a company purchases international freight insurance it is practicing:
A) Risk transfer
B) Risk elimination
C) Risk retention
D) Risk acceptance
Q4) Describe the importance of global route planning.
Q5) A key NAFTA stumbling block has been the inability to resolve:
A) Improved free trade between the U.S., Mexico and Canada
B) Balance of trade between Canada and Mexico
C) Reduction of duties between the three countries
D) U.S.-Mexico cross-border truck operations
Q6) What is the purpose of Incoterms?
Q7) Please describe a transaction channel as part of the logistics channels.
Q8) What is the purpose of the distribution channel?
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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) On a value basis,what percentage of intercontinental containerized trade volume is moved by ocean?
A) 80%
B) 60%
C) 98%
D) 72%
Q2) Describe the customs clearing process.
Q3) What is an ultra-large containerships?
Q4) In terms of thousands of tons per year,what it the busiest seaport?
A) Long Beach
B) Singapore
C) Ningbo-Zhoushan
D) Rotterdam
Q5) Define indirect service.
Q6) What is a Foreign Trade Zone?
Q7) What are ocean shipping rates based upon?
Q8) There are several types of ancillary service providers.Name three that focus on international transportation and describe the type of service they provide.
Q9) What are international air freight rates based upon?
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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) List five of the eight elements of a well structured 3PL operating model.
Q2) According to the Penn State-Capgemini study what percentage of 3PL users state that their 3PL relationships are successful?
A) 97%
B) 90%
C) 86%
D) 75%
Q3) According to the book,3PL spending is highest in:
A) North America
B) Europe
C) Asia-Pacific
D) Latin America
Q4) A financial base 3PL does what?
Q5) Explain the concept of partnership drivers and identify four partnership drivers.
Q6) When deciding to form a strategic partnership the book recommends performing an audit of needs and overall strategies with regard to logistics operations.What is the goal of the audit,and what types of information should come from the audit?
Q7) What is the primary role of an Air Freight Forwarder?
Page 14
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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) Which act greatly reduced controls over entry into the common and contract carrier fields?
A) ICC act of 1995
B) The Railroad Act of 1974
C) The 1980 Motor Carrier Act
D) The 1996 Interstate transportation act
Q2) Shipments greater than how many thousand pounds require a five-axle trailer?
A) 45,000
B) 35,000
C) 55,000
D) 25,000
Q3) Discuss leasing as an option for private trucking.
Q4) What is unique about private air transportation compared to the other modes?.
Q5) How much,on a per mile basis,is fringe benefit cost?
A) $2.00
B) $0.02
C) $0.15
D) $0.65
Q6) Discuss the types costs incurred in operating private truck fleets versus using a for-hire carrier.
Page 15
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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) Describe the impact of fuel on the airline industry.
Q2) What is meant by green supply chain?
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) The railroads shortfall over the next 20 years for infrastructure is about?
A) $10 billion
B) $20 billion
C) $30 billion
D) $50 billion
Q5) Spending on necessary rail infrastructure is underfunded how much?
A) 6%
B) 18%
C) 28%
D) 8%
Q6) Over the next 20 years what level of increase is expected in freight truck traffic?
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