Logistics Terms

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Date:

Instructions: Deliver your best performance on this quiz about shipping, warehousing, and supply chain vocabulary.

1.
What does 'FOB' stand for in shipping?
A
Full Order Billing
B
Freight Operation Base
C
Free On Board
D
Forward Order Batch
2.
What is a 'bill of lading'?
A
A landing permit for aircraft
B
A customs declaration form
C
An invoice for warehouse space
D
A legal document issued by a carrier detailing the type, quantity, and destination of goods being shipped
3.
What does 'just-in-time' (JIT) inventory mean?
A
A strategy where materials arrive precisely when needed in production, minimizing storage costs
B
Ordering extra inventory in case of emergencies
C
A deadline for placing orders
D
Delivering goods at the last possible moment
4.
What is a 'pallet' in logistics?
A
A flat transport structure used to support goods for storage and shipping, often moved by forklifts
B
A color sample for packaging
C
A type of shipping container
D
A loading dock platform
5.
What does 'drayage' refer to?
A
A type of cargo insurance
B
Dragging heavy cargo across a dock
C
Draining water from a ship
D
The transport of goods over a short distance, typically from a port to a warehouse
6.
What is 'cross-docking'?
A
A type of dock inspection
B
Parking two trucks side by side
C
Loading goods from both sides of a truck
D
A logistics practice where incoming goods are directly transferred to outgoing vehicles with minimal storage
7.
What does 'TEU' stand for?
A
Terminal Entry Usage
B
Transport and Equipment Union
C
Total Export Units
D
Twenty-foot Equivalent Unit, a standard measure for shipping container capacity
8.
What is 'demurrage'?
A
A charge for keeping a shipping container or vessel beyond the allowed free time
B
A type of cargo insurance
C
A discount for early delivery
D
Damage to goods in transit
9.
What does 'last mile delivery' refer to?
A
Delivering to remote rural areas
B
The final leg of the delivery process from a distribution center to the end customer
C
A measurement of fuel efficiency
D
The final mile of a highway
10.
What is a 'manifest' in shipping?
A
A shipping company's mission statement
B
A document listing all cargo, passengers, and crew on a vessel or vehicle
C
A warehouse floor plan
D
A type of packaging material
11.
What does 'LTL' stand for in freight shipping?
A
Limited Transport License
B
Long-Term Logistics
C
Large Transit Load
D
Less Than Truckload
12.
What is 'reverse logistics'?
A
The process of moving goods from the customer back to the seller or manufacturer for returns, recycling, or disposal
B
Reversing a shipping order
C
Shipping goods backwards through the supply chain
D
Driving a truck in reverse
13.
What does 'SKU' stand for?
A
Stock Keeping Unit
B
Supply Kit Utility
C
Shipping Knowledge Unit
D
Standard Kitting Usage
14.
What is 'intermodal transport'?
A
The use of two or more modes of transport (truck, rail, ship) to move goods in a single journey
B
Transport within a single building
C
Transport between two warehouses
D
A type of forklift
15.
What does 'lead time' mean in logistics?
A
The time it takes to load a truck
B
The first delivery of the day
C
The time the lead driver takes a break
D
The total time from placing an order to receiving the goods

Answer Key

Question 1

C. Free On Board

Question 2

D. A legal document issued by a carrier detailing the type, quantity, and destination of goods being shipped

Question 3

A. A strategy where materials arrive precisely when needed in production, minimizing storage costs

Question 4

A. A flat transport structure used to support goods for storage and shipping, often moved by forklifts

Question 5

D. The transport of goods over a short distance, typically from a port to a warehouse

Question 6

D. A logistics practice where incoming goods are directly transferred to outgoing vehicles with minimal storage

Question 7

D. Twenty-foot Equivalent Unit, a standard measure for shipping container capacity

Question 8

A. A charge for keeping a shipping container or vessel beyond the allowed free time

Question 9

B. The final leg of the delivery process from a distribution center to the end customer

Question 10

B. A document listing all cargo, passengers, and crew on a vessel or vehicle

Question 11

D. Less Than Truckload

Question 12

A. The process of moving goods from the customer back to the seller or manufacturer for returns, recycling, or disposal

Question 13

A. Stock Keeping Unit

Question 14

A. The use of two or more modes of transport (truck, rail, ship) to move goods in a single journey

Question 15

D. The total time from placing an order to receiving the goods

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