PTO612S - PRACTICAL TRANSPORT OPERATIONS MANAGEMENT - 2ND OPP - JAN 2020


PTO612S - PRACTICAL TRANSPORT OPERATIONS MANAGEMENT - 2ND OPP - JAN 2020



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NAMIBIA UNIVERSITY
OF SCIENCE AND TECHNOLOGY
FACULTY OF MANAGEMENT SCIENCES
DEPARTMENT OF MARKETING AND LOGISTICS
QUALIFICATION: BACHELOR OF TRANSPORT MANAGEMENT
QUALIFICATION CODE: 07BTRM
COURSE CODE: PTO612S
SESSION: JANUARY 2020
DURATION: 3 HOURS
LEVEL: 6
COURSE NAME: PRACTICAL TRANSPORT OPERATIONS
MANAGEMENT
PAPER: THEORY
MARKS: 100
SECOND OPPORTUNITY EXAMINATION QUESTION PAPER
EXAMINER:
Ms. Ester Jesaya
MODERATOR: | Ms. Hilma Nuuyandja
INSTRUCTIONS
Answer ALL the questions.
Write clearly and neatly.
Number the answers clearly.
This question paper consist of Section A and B.
THIS QUESTION PAPER CONSISTS OF 4 PAGES (Including this front page)

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SECTION A: MULTIPLE CHOICE QUESTIONS AND TRUE/FALSE
Question 1: Multiple Choice
Write the letter next to the correct answer.
1.1. How can low tire pressure negatively affect your driving?
a) Compromised cornering, braking and stability
b) Decreased fuel efficiency
c) Uneven wear and increased chance of tire failure
d) Allofthe above
(40 MARKS)
(2x10 = 20 Marks)
1.2 .If you don’t know where to start in creating a maintenance schedule, where is the best place to find
specific recommendations for your vehicle?
a) Amechanic at an automotive garage
b) Reliable online websites and sources
c) Your vehicle’s owner's manual
d) Aknowledgeable family member
1.3; Maintenance consist of the following action(s):
a) Replace of component
b) Repair of component
c) Service of component
d) All ofthe above
1.4. The time elapsed from the point the machine fails to perform its function to the point it is repaired and
brought into operating condition is known as
a) Downtime
b) Break Down time
c) Both (A) and (B)
d) Idle time
1.5. The down time cost consists of
a) Loss of production.
b) Wages paid to the workers.
c) Reduction in sales.
d) All ofthe above.
1.6. Scheduled maintenance is
a) Joint
b) Compromise
c) Bridge
d) In
between breakdown maintenance and the preventive maintenance.
Lis Tracking maintenance history cards are meant to record
a) The way vehicle behaves.
b) Total down time of the vehicle.
c) The rate at which different components wear off.
d) All ofthe above.
1.8. The __ goes on increasing with the
a) Cost of down time
b) Cost of spares and maintenance
c) Labour and Overhead Cost
increase
in degree
of maintenance
efforts.

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d) All ofthe above
1.9,
a)
b)
c)
d)
is one of the factors that influence the financial status of the undertaking.
Stability of sales
Education
Economies of scale
Allofthe above
1.10. The bank will assess the contract to ensure that the company will generate sufficient funds from
operations to pay for the vehicle using which criterion?
a) Payment Terms
b) Policy
c) Allofthe above
d) None of the above
Sub-Total: 20 Marks
Question 2: True/False
(2x10=20 Marks)
State whether the following statements are true or false:
2.1. Depreciation refers to the interests paid to the bank on the money used to finance the vehicle.
2.2. Overhead expenses are paid when the trucks works, influence by the way it is used, driven and looked
after.
2.3. Budgeting is a very important exercise and it is done thrice a year.
2.4. Operating budgets is prepared to determine the day-to-day costs of a department for the next financial
year such as labour costs, fuel, depreciation, maintenance and assets.
2.5. Lease payments are tax deductible.
2.6. One of the disadvantage of using own capital is higher administrative responsibility in terms of invoicing,
maintenance and disposal of vehicles at time of replacement.
2.7. Maintenance needs to take place in a timely, professional and legal manner to secure a safe and cost
effective fleet.
2.8. Inaccurate and inappropriate vehicle specification can lead to buying a vehicle that is not suitable for
the task it will be required to carry out.
2.9.As the vehicle gets older the nature of repairs change from smaller less complicated repairs to larger
ones that requires special tooling, greater mechanical skill and more parts inventory.
2.10. Older vehicles are also more fuel efficient than newer and more moderns vehicles.
Sub-Total: 20 Marks
SECTION B: STRUCTURED QUESTIONS
(60 Marks)
Question 3
3.1. Name and explain six alternatives that organizations can use to finance their vehicles?
12 Marks

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3.2. Identify the truck type in the diagram below and discuss four main features of this truck? 5 Marks
3.3. Mention any seven factors that a fleet organization should consider when buying a truck? 7 Marks
Sub-total: 24 Marks
Question 4
4.1. What is a vehicle replacement cycle? List five advantages of a vehicle replacement cycle?
7 Marks
4.2. Discuss variables/factors that affect decisions of fleet managers to purchase new vehicles?
10 Marks
4.3. Mr Van Wyk is operating a fleet organization that consist of about 60 trucks and mini vans. Mr Van Wyk
is currently spending a lot of money in vehicle maintenance programme with his dealership. In order to
reduce the maintenance costs of vehicles he decided to open an In-house maintenance programme. Explain
to Mr. Van Wyk how the In-house vehicle maintenance works? What are the disadvantages of In-house
vehicle maintenance?
9 Marks
4.4. List any ten benefits you can realize with a dealer Preventive Maintenance Program?
10 Marks
Sub-Total: 36 Marks
Total: 100 Marks
THE END