Operation Management Homework

Administrators at a university are planning to offer a summer seminar. It costs $4000 to reserve a room, hire an instructor, and bring in the equipment. Assume it costs $45 per student for the administrators to provide the course materials. If we know that 100 people will attend, what price should be charged per person to break even?

85

The break-even point is the volume that the profit is positive (greater than zero).

False

Answer the following statement with TRUE or FALSE: If one of the coefficients of the objective function is changed to a value outside of its respective sensitivity range (greater than the upper limit or lower than the lower limit), the optimal solution will be different than the one originally obtained before the change is implemented.

True

Which of the following combinations of constraints has no feasible region? x1 + x2 greater or equal than 15 and x1 - x2 less or equal than 10 x1 + x2 greater or equal than 5 and x1 greater or equal than 10 x1 + x2 greater or equal than 100 and x1 + x2 greater or equal than 50 x1 + x2 greater or equal than 10 and x1 greater or equal than 5 All of the above have a feasible region.

All of the above have a feasible region.

Slack variables are only associated with maximization problems.

False

Fixed cost includes:

staff and management salaries

Consider the following linear programming problem: Max Z = 4x1 + 2x2 Subject to: x1 less or equal than 4 x2 less or equal than 2 x1, x2 ≥ 0 The Z obtained from the best combination of x2 and x1 is

20

The graph below represents a LP problem in which the objective function is "Minimization" and parallel to the contraint 1. Which one of the following answers would best indicate how the best Z can be obtained in the problem below?

All the points in the segment of line: top enclose A B end enclose

___________________ refers to the ability of an organization to sell products in a market. Please choose the option that best fits the empty space above

Business competitiveness

The Pinewood Furniture Company produces chairs and tables from two resources: labor and wood. The company has 120 hours of labor and 100 board-ft. of wood available each day. Demand for table is limited to 8 per day. Each chair requires 3 hours of labor and 4 board-ft. of wood, whereas a table requires 20 hours of labor and 9 board-ft. of wood. The profit derived from each chair is $100 and from each table is $500. The company wants to determine the number of chairs and tables to produce each day in order to maximize profit. The correct linear programming model formulation of this problem is:

Max Z = 100x1 + 500x2 Subject to: 3x1 + 20x2 ≤ 120 4x1 + 9x2 ≤ 100 x2 ≤ 8 x1, x2 ≥ 0

The graph below represents a LP problem in which the objective function is "Maximization" and parallel to the contraint 1. Which one of the following answers would best indicate how the best Z can be obtained in the problem below? Point A Point B All the points in the segment of line: stack A B with bar on top All the points in the segment of line: top enclose B C end enclose None of the above

None of the above

Australian road freight company Linfox uses aerodynamic trucks and trailers to reduce fuel consumption. This is a case of generating higher

productivity

Consider the following linear programming problem: Max Z = $15x + $20y Subject to: 8x + 5y ≤ 40 0.4x + y ≥ 4 x, y ≥ 0 Considering that the values for x and y that will maximize revenue are respectively x = 0 and y = 8, what is the amount of slack/surplus associated with the first constraint - in the optimal point?

0

Consider the following linear programming problem: Max Z = $200x1 + $100x2 Subject to: 8x1 + 5x2 ≤ 80 2x1 + x2 ≤ 100 x1, x2 ≥ 0 What is maximum Z and the value of x1 and x2 at the optimal solution?

Z = 2000; x1 = 10; and x2 = 0;

If by processing the same amount of inputs used in the past a company is now capable to produce a(n) ________ amount of outputs, it means that an improvement of productivity was achieved. Please choose the option that best fits the empty space above

greater

When building a chair, a carpenter uses 2 pounds of wood and 3 ounces of glue. If the Carpenter has 3 pounds of wood and 6 ounces of glue, how many chairs will he/she be able to build?

one chair