BA Exam 1 Multiple Choice

A diet is being developed which must contain at least 100 mg of vitamin C. Two fruits are used in this diet. Bananas contain 30 mg of vitamin C and Apples contain 20 mg of vitamin C. The diet must contain at least 100 mg of vitamin C. Which of the following constraints reflects the relationship between Bananas, Apples and vitamin C? 20 A + 30 B = 100 20 A = 100 20 A + 30 B <= 100 20 A + 30 B >= 100

20 A + 30 B >= 100

The objective function for a LP model is 3 X1 + 2 X2. If X1 = 20 and X2 = 30, what is the value of the objective function? 0 120 60 50

120

A company uses 4 pounds of resource 1 to make each unit of X1 and 3 pounds of resource 1 to make each unit of X2. There are only 150 pounds of resource 1 available. Which of the following constraints reflects the relationship between X1, X2 and resource 1? 4 X1 + 3 X2 = 150 4 X1 + 3 X2 <= 150 4 X1 <= 150 4 X1 + 3 X2 >= 150

4 X1 + 3 X2 <= 150

Linear Programming can be used to solve____________ problems. Blending Transportation Finance All of the above

All of the above

Which of the following is not a question answered by sensitivity analysis? Over what range can a constraint's right-hand side value without the constraint's dual price possibly changing? If the right-hand side value of a constraint changes, will the objective function value change? By how much will the objective function value change if the right-hand side value of a constraint changes beyond the range of feasibility? By how much will the objective function value change if a decision variable's coefficient in the objective function changes within the range of optimality?

By how much will the objective function value change if the right-hand side value of a constraint changes beyond the range of feasibility?

The statistical significance of the regression model is showed by t-statistic p-statistic F-statistic intercept

F-statistic

Which of the following can be used to measure the error in a forecast? alpha MSE sumproduct none of these

MSE

If the graph indicates stationary data which forecasting method would you use? Moving averages Quadratic trend Linear trend

Moving averages

Which type of spreadsheet cell represents the objective function in an LP model? Changing variable cell Constraint cell Objective cell Constant cell

Objective cell

In the following expression, which is (are) the dependent variable(s)? PROFIT = REVENUE EXPENSES Profit Revenue Expenses (b) and (c)

Profit

Which forecasting method would be the best to forecast? The one with the highest amount of error The one with the least amount of error The one that is closest to the sale value The one that looks the best on the graph

The one with the least amount of error

Historical data can be used to create a regression model that can be used to predict a value that is not in our existing data True False

True

If the reduced cost for a product is negative this means that the total profit will decrease if they produce that product. True False

True

Sensitivity analysis considers how changes in objective cell coefficients would effect the optimal solution. True False

True

Something is said to be statistically significant if it is not likely to happen by chance. True False

True

The adjusted R squared is used when we are doing multiple regression (i.e more than one independent variable) True False

True

The difference between the actual observed value and the predicted value (by the regression model) is called the residual True False

True

The p-value for a coefficient shows if it is statistically significant True False

True

According to my discussion of Business Analytics, Business analytics methods come from the following fields. management science decision science operations research all of these

all of these

Using regression analysis requires that our data meets the following criteria there is a pattern to our data the errors (residuals) of our regression analysis don't have a pattern most of the errors are small all of these

all of these

Decision criteria are the choices faced by the decision maker. are the problems faced by the decision maker. are the ways to evaluate the choices faced by the decision maker. must be unique for a problem.

are the ways to evaluate the choices faced by the decision maker.

The "r^2" value is called the coefficient of the regression coefficient of the problem coefficient of the determination coefficient of the analysis

coefficient of the determination

A manager has only 200 tons of plastic for his company. This is an example of a(n) objective. parameter. decision. constraint.

constraint.

The optimal solution for a LP problems will occur at a ___________ point of the feasible region.

corner

The number of units to ship from Chicago to Memphis is an example of a(n) decision. parameter. constraint. objective

decision.

The r^2 value shows how much of the ________ is explained by the regression equation independent variable observation variable predictor variable dependent variable

dependent variable

When using the regression analysis tool in excel the input Y range are the values for _______ variables and the input X range are the ____________ variables dependent, independent independent, dependent

dependent, independent

The constraints of an LP model define the feasible region practical region maximal region opportunity region

feasible region

In a spreadsheet, input cells correspond conceptually to independent variables. functions. output cells. dependent variables

independent variables.

Identification and definition of a problem: cannot be done until alternatives are proposed. is the first step of decision making. is the final step of problem solving. requires consideration of multiple criteria.

is the first step of decision making.

Business analytics can be thought of as a set of tools to help make better decisions make math models reduce risk plan the future

make better decisions

The quantitative analysis approach requires the manager's prior experience with a similar problem. a relatively uncomplicated problem. mathematical expressions for the relationships.

mathematical expressions for the relationships.

A model that uses a system of symbols to represent a problem is called mathematical. iconic. analog. constrained.

mathematical.

A common objective in the product mix problem is minimizing production time. maximizing profit. maximizing production volume. maximizing cost.

maximizing profit.

The "line of best fit" ______ the error between the predicted value and the actual data value for an observation of the data. maximizes minimizes reduces limits

minimizes

If the shadow price for a resource is 0 and 150 units of the resource are added what happens to the objective function value? increases but by an unknown amount increases more than 0 but less than 150 increase of 150 no increase

no increase

A plot of the residuals of a regression analysis should show some kind of pattern no pattern mostly small errors Mostly big errors

no pattern mostly small errors

A time series which has a significant upward or downward trend is referred to as static. non-moving. stationary. non-stationary.

non-stationary.

A forecast error is the difference between the ______ value for the time period and the actual value that occurred in the time

predicted

What type of analytics is forecasting prescriptive predictive descriptive causal

predictive

What type of analytics is linear programming? prescriptive predictive descriptive opportunistic

prescriptive

The type of graph used to examine the pattern of a data set for a possible use of regression analysis is: scatter diagram residual diagram pie chart linear diagram

scatter diagram

The ________ indicates how much the value of the objective function will change as the right-hand side of a constraint is increased by 1. reduced cost shadow price binding constraint objective coefficient

shadow price

Decision alternatives should be identified before decision criteria are established. are limited to quantitative solutions are evaluated as a part of the problem definition stage. are best generated by brain-storming.

should be identified before decision criteria are established.

What value is used in the regression statistics to create the confidence interval r squared standard error intercept residuals

standard error

A time series which has no significant upward or downward trend is referred to as static. non-moving. stationary. non-stationary.

stationary.

The allowable decrease for a constraint is how many more units of resource to purchase to maximize profits. how much resource to use to get the optimal solution. the amount by which constraint coefficient can increase without changing the final optimal value. the amount by which the resource can decrease given shadow price.

the amount by which the resource can decrease given shadow price.

The allowable increase for a constraint is the amount by which the constraint coefficient can increase without changing the final optimal value. how many more units of resource to purchase to maximize profits. the amount by which the resource can increase given shadow price. how much resource to use to get the optimal solution.

the amount by which the resource can increase given shadow price.

In a multicriteria decision problem it is impossible to select a single decision alternative. the decision maker must evaluate each alternative with respect to each criterion. successive decisions must be made over time. each of these choices are true.

the decision maker must evaluate each alternative with respect to each criterion.

The first step in problem solving is determination of the correct analytical solution procedure. definition of decision variables. the identification of a difference between the actual and desired state of affairs. implementation.

the identification of a difference between the actual and desired state of affairs.

The reduced cost for a changing cell (decision variable) is the amount by which the objective function value changes if the variable is increased by one unit. how many more units to product to maximize profits. the per unit profits minus the per unit costs for that variable. equal to zero for variables at their optimal values.

the per unit profits minus the per unit costs for that variable.

The function used in excel to find the "line of best fit" is trendline dataline sales residual plot

trendline

Which of these formulas indicates a linear trend? y = 0.1799x + 4.8525 y = 0.9216x^2 - 2.106x + 24.182 e = mc^2

y = 0.1799x + 4.8525

Which of these formulas indicates a quadratic trend? y = 1.1x + 20.4 y = 0.9216x^2 - 2.106x + 24.182 e = mc^2

y = 0.9216x^2 - 2.106x + 24.182

The shadow price of a nonbinding constraint is positive negative zero indeterminate

zero

Binding constraints have surplus resources. zero slack. negative slack positive slack

zero slack.