Ch.13-17 Quiz Questions + Modules
A single-phase waiting-line system meets the assumptions of constant service time or M/D/1. Units arrive at this system every 12 minutes on average. Service takes a constant 8 minutes. What is the average number in the system Ls in units? Select one: a. 2.25 b. 2.5 c. 3.0 d. 1.33 e. 5.0
d. 1.33
Which of the following is NOT one of the Seven Wastes? Select one: a. overproduction b. transportation c. assignment d. defective product e. motion
c. assignment
Which of the following is NOT an assumption of the M/M/1 model? Select one: a. The first customers to arrive are the first customers served. b. Each arrival comes independently of the arrival immediately before and after that arrival. c. The population from which the arrivals come is very large or infinite in size. d. Customers do not renege. e. Service times occur according to a normal probability distribution.
e. Service times occur according to a normal probability distribution.
While breakdowns occur randomly, their frequency is somewhat predictable through such tools as the product failure rate, MTBF, and the breakdown costs model. Select one: True False
True
Which of the following is a necessity for common EOQ methodology but not simulations? Select one: a. constant lead time b. variable demand c. variable holding costs d. constant lead time and variable demand e. constant lead time, variable demand and variable holding costs
a. constant lead time
Suppose that the shadow price for assembly time is $5/hour. The allowable increase for the assembly time constraint is 40 hours, and the allowable decrease is 30 hours. If all assembly hours were used under the initial LP solution and workers normally make $4/hour but can work overtime for $6/hour, what should management do? Select one: a. do not change available hours for assembly time b. decrease available hours for assembly time by 30 hours c. increase available hours for assembly time by 40 hours d. decrease available hours for assembly time by 5 hours e. increase available hours for assembly time by 5 hours
a. do not change available hours for assembly time
What does TPS stand for? Select one: a. Total Production Streamlining b. Toyota Production System c. Taguchi's Production S's d. Total Process Simplification e. Transparent Processing System
b. Toyota Production System
Total demand for a transportation model is 15 while total supply is 20. Which of the following should be included? Select one: a. a dummy source of 20 units b. a dummy destination of 5 units c. a dummy source of 5 units d. a dummy destination of 20 units e. a dummy destination of 35 units
b. a dummy destination of 5 units
Distribution resource planning (DRP) is: Select one: a. a transportation plan to ship materials to warehouses. b. a time-phased stock replenishment plan for all levels of a distribution network. c. a shipping plan from a central warehouse to retail warehouses. d. material requirements planning with a feedback loop from distribution centers. e. a material requirements planning package used exclusively by warehouses.
b. a time-phased stock replenishment plan for all levels of a distribution network.
Which one of the following is NOT necessary to identify the optimal maintenance policy? Select one: a. historical data on maintenance costs b. cost of performing the analysis c. breakdown probabilities d. breakdown occurrences e. repair times
b. cost of performing the analysis
Which one of the following is NOT a layout tactic in a JIT environment? Select one: a. work cells for families of products b. fixed equipment c. minimizing distance d. little space for inventory e. poka-yoke devices
b. fixed equipment
Under which of the following do planning tasks associated with production planning and budgeting, as well as setting employment, inventory, and subcontracting levels, typically fall? Select one: a. short-range plans b. intermediate-range plans c. long-range plans d. demand options e. strategic planning
b. intermediate-range plans
In the basic queuing model (M/M/1), what probability distribution describes service times? Select one: a. binomial b. negative exponential c. Poisson d. normal e. lognormal
b. negative exponential
For the lot-sizing technique known as lot-for-lot to be appropriate: Select one: a. future demand should be known for several weeks. b. setup cost should be relatively small. c. annual volume should be rather low. d. item unit cost should be relatively small. e. the independent demand rate should be very stable.
b. setup cost should be relatively small.
A McDonald's single-lane drive-through that has one window for making the payment and a second window for receiving the food behaves most like which of the following? Select one: a. single-server, single-phase system b. single-server, multiphase system c. multiple-server, single-phase system d. multiple-server, multiphase system e. single-server, sequential-phase system
b. single-server, multiphase system
In the service sector, which of the following aggregate planning strategies might direct your client to a competitor? Select one: a. using part-time workers b. subcontracting c. changing inventory level d. varying production rates through overtime or idle time e. varying work force size by hiring or layoffs
b. subcontracting
The number of kanbans should be equal to which of the following? Select one: a. one b. the ratio of (demand during lead time + safety stock) to container size c. one-half of the EOQ d. one full day's production divided by the EOQ e. the ratio of demand during lead time to (container size + safety stock)
b. the ratio of (demand during lead time + safety stock) to container size
Setting up a probability distribution, building a cumulative probability distribution, and generating random numbers are: Select one: a. necessary when the underlying probability distribution is normal. b. three of the five steps in Monte Carlo simulation. c. elements of physical simulation but not mathematical simulation. d. the elements of the threefold idea behind simulation. e. advantages of simulation.
b. three of the five steps in Monte Carlo simulation.
An order for 110 units of Product A has been placed. There are currently 60 units of Product A on hand. Each A requires 4 units of Part B. There are 20 units of B available. What are the net requirements for B? Select one: a. 20 b. 120 c. 180 d. 240 e. 440
c. 180 Take 60 units of Product A and multiply by 4 = 240 240-20 units of available B= 180 units of B are needed
Which of the following represents a valid constraint in linear programming? Select one: a. 2X ≥ 7XY b. (2X)(7Y) ≥ 500 c. 2X + 7Y ≥100 d. 2X2 + 7Y ≥ 50 e. All of these are valid linear programming constraints.
c. 2X + 7Y ≥100
What is the typical time horizon for aggregate planning? Select one: a. less than a month b. up to 3 months c. 3 to 18 months d. over one year e. over 5 years
c. 3 to 18 months
Which of the following is FALSE concerning enterprise resource planning (ERP)? Select one: a. It attempts to automate and integrate the majority of business processes. b. It shares common data and practices across the enterprise. c. It is inexpensive to implement. d. It provides and accesses information in a real-time environment. e. ERP software promises reduced transaction costs.
c. It is inexpensive to implement.
Which of the following is specifically characterized by the elimination of waste through a focus on exactly what the customer wants? Select one: a. Just-in-time (JIT) b. Toyota Production System (TPS) c. Lean operations d. Material requirements planning (MRP) e. kanban
c. Lean operations
How is MTBF related to FR(N)? Select one: a. MTBF is measured in hours, while FR(N) is measured in years. b. MTBF is normally distributed, with FR(%) as its mean and FR(N) as its standard deviation. c. MTBF is the reciprocal of FR(N). d. Both MTBF and FR(N) increase when breakdown maintenance is replaced by preventive maintenance. e. MTBF and FR(N) are unrelated concepts.
c. MTBF is the reciprocal of FR(N).
A firm makes two products, Y and Z. Each unit of Y costs $10 and sells for $40. Each unit of Z costs $5 and sells for $25. If the firm's goal were to maximize profit, what would be the appropriate objective function? Select one: a. Maximize profit = $40Y = $25Z b. Maximize profit = $40Y + $25Z c. Maximize profit = $30Y + $20Z d. Maximize profit = 0.25Y + 0.20Z e. Maximize profit = $50(Y + Z)
c. Maximize profit = $30Y + $20Z
What combination of a and b will yield the optimum for this problem? Maximize $6a + $15b, subject to (1) 4a + 2b ≤ 12 and (2) 5a + 2b ≤ 20 and (3) x, y ≥ 0. Select one: a. a = 0, b = 0 b. a = 3, b = 3 c. a = 0, b = 6 d. a = 6, b = 0 e. a = 0, b = 10
c. a = 0, b = 6
Low-level coding means that: Select one: a. a final item has only a few levels in the BOM structure. b. the code being used is the code for the lowest level in the BOM structure. c. a component item is coded at the lowest level at which it appears in the BOM structure. d. the top level of the BOM is below level zero and that BOMs are not organized around the finished product. e. the lowest-paid staff member in the production department performs the coding.
c. a component item is coded at the lowest level at which it appears in the BOM structure.
What does the Japanese word "kanban" mean? Select one: a. low inventory b. employee empowerment c. card d. continuous improvement e. lot size of one
c. card
Top executives tend to focus their attention on which type of forecasts? Select one: a. short-range b. intermediate-range c. long-range d. weather e. the forecast for the next day's absentee levels
c. long-range
Which MRP lot-sizing technique should be considered to be the goal (i.e., the technique of choice under ideal conditions)? Select one: a. Wagner-Whitin b. EOQ c. lot-for-lot d. POQ e. Silver-Meal
c. lot-for-lot
Frito-Lay uses aggregate planning to match capacity with demand because of the ________ associated with its specialized processes. Select one: a. high variable cost and high fixed cost b. high variable cost and low fixed cost c. low variable cost and high fixed cost d. low variable cost and low fixed cost e. None of these
c. low variable cost and high fixed cost
Which of the following is NOT an advantage of level scheduling? Select one: a. stable employment b. lower absenteeism c. matching production exactly with sales d. lower turnover e. more employee commitment
c. matching production exactly with sales
MRP II is accurately described as: Select one: a. MRP software designed for services. b. MRP with a new set of computer programs that execute on microcomputers. c. material resource planning. d. an enhancement of MRP that plans for all levels of the supply chain. e. a new generation of MRP software that extends MRP to planning and scheduling functions.
c. material resource planning.
A difference between minimization and maximization problems is that: Select one: a. minimization problems cannot be solved with the corner-point method. b. maximization problems often have unbounded regions. c. minimization problems often have unbounded regions. d. minimization problems cannot have shadow prices. e. minimization problems are more difficult to solve than maximization problems.
c. minimization problems often have unbounded regions.
A paint company mixes ten different base colors into 3,000 different color options. If production scheduling is organized around the ten different base colors , then the bills of material are classified as which of the following? Select one: a. phantom b. planning c. modular d. low-level e. phantom and planning
c. modular
The objective of maintenance and reliability is to: Select one: a. ensure that breakdowns do not affect the quality of the products. b. ensure that no breakdowns will ever occur. c. ensure that preventive maintenance costs are kept as low as possible. d. maintain the capability of the system. e. ensure that maintenance employees are fully utilized.
d. maintain the capability of the system.
The sign at the bank that reads, "Wait here for the first available teller," suggests the use of a ________ waiting line system. Select one: a. dynamic-server, single-phase b. random-server, single-phase c. single-server, multiphase d. multiple-server, single-phase e. multiple-server, multiphase
d. multiple-server, single-phase
In queuing problems, which of the following probability distributions is typically used to describe the time to perform the service? Select one: a. binomial b. normal c. Poisson d. negative exponential e. lognormal
d. negative exponential
Distortion in MRP systems can be minimized when safety stock is held at the: Select one: a. purchased component or raw material level. b. work-in-process level. c. finished goods level. d. purchased component or raw material level and finished goods level
d. purchased component or raw material level and finished goods level
What is the probability that a product will function properly for a specified time under stated conditions? Select one: a. functionality b. maintenance c. durability d. reliability e. fitness for use
d. reliability
One difference in the stepping-stone method compared to the northwest-corner and intuitive methods is: Select one: a. the stepping-stone method never finds a feasible solution. b. the stepping-stone method ignores costs. c. the stepping-stone method ALWAYS finds a lower-cost solution. d. the stepping-stone method guarantees an optimal solution. e. the stepping-stone method does not consider factory capacities.
d. the stepping-stone method guarantees an optimal solution.
"An optimal plan for minimizing the cost of allocating capacity to meet demand over several planning periods" best describes which of the following? Select one: a. the linear decision rule b. simulation c. the management coefficients model d. the transportation method e. graphical methods
d. the transportation method
Aggregate planning would entail which of the following production aspects at BMW for a 12-month period? Select one: a. number of cars with a hi-fi stereo system to produce b. number of two-door vs. four-door cars to produce c. number of green cars to produce d. total number of cars to produce e. number of two-door vs. four-door cars to produce, number of green cars to produce, and total number of cars to produce
d. total number of cars to produce
The purpose of the transportation approach for location analysis is to minimize which of the following? Select one: a. total costs b. total variable costs c. total fixed costs d. total shipping costs e. the number of shipments
d. total shipping costs
Lead time for computers is 5 days with daily demand of 25 and safety stock of 5 computers. If management wants to use 10 kanbans how many computers should each one hold? Select one: a. 25 b. 1 c. 5 d. 10 e. 13
e. 13
Lean operations are known for their: Select one: a. employee development. b. supplier education. c. supplier partnerships. d. challenging jobs. e. All of these are attributes of lean operations.
e. All of these are attributes of lean operations.
Which of the following is NOT a goal of JIT partnerships? Select one: a. removal of unnecessary activities b. removal of in-plant inventory c. removal of in-transit inventory d. obtain improved quality and reliability e. All of these are goals of JIT partnerships.
e. All of these are goals of JIT partnerships.
Which of the following statements regarding simulation is TRUE? Select one: a. Large-scale simulation models are virtually all handled by computer. b. Simulation has numerous areas of application in operations. c. Simulation attempts to duplicate a real system. d. The process of simulation involves seven steps. e. All of these are true.
e. All of these are true.
Which of the following statements regarding the gross material requirements plan is TRUE? Select one: a. It shows total demand for an item. b. It shows when an item must be ordered from a supplier or when production must be started. c. It combines a master production schedule with the time-phased schedule. d. It requires several inputs, including an accurate bill of material. e. All of these are true.
e. All of these are true.
Which of the following is NOT an input to S&OP? Select one: a. capacity decisions b. supply-chain support c. workforce d. inventory on hand e. master production schedule
e. master production schedule
Aggregate planning for service firms that provide intangible output deals mainly with: Select one: a. smoothing the production rate and finding the optimal size of the workforce. b. capital investment decisions. c. centralized purchasing. d. centralized production. e. planning for human resource requirements and managing demand.
e. planning for human resource requirements and managing demand.
Which of the following aggregate planning options attempts to manipulate product or service demand? Select one: a. inventories b. part-time workers c. subcontracting d. overtime/idle time e. price cuts
e. price cuts
Which one is NOT an application of lean principle in services? Select one: a. JIT in food supply management b. improving kitchen layout at McDonald's to drive seconds out of the production process c. inventory sharing among members of the pharmaceutical network d. scheduling personnel availability at 15 minute increments to meet demand fluctuations e. securing more inventory to prepare for disruption in production
e. securing more inventory to prepare for disruption in production
In a JIT system, product inspection adds value by identifying defective items. Select one: True False
False
In the graphical solution to a linear program, the region that satisfies the constraint 4X + 15Z ≥ 1000 includes the origin of the graph. Select one: True False
False
Preventive maintenance implies that machine sensors to detect variations from normal are inadequate. Select one: True False
False
The greater the margin by which the arrival rate exceeds the service rate, the better the performance of the waiting line. Select one: True False
False
The MTBF distributions of products, machines, or processes that have "settled in," or gone beyond the infant mortality phase, often follow the normal distribution. Select one: True False
True
The Toyota Production System requires that activities have built-in, automatic tests to signal problems. Select one: True False
True
The cost of waiting decreases as the service level increases. Select one: True False
True
The transportation model is a special class of linear programming models. Select one: True False
True
Waste is anything that does not add value from the consumer's perspective. Select one: True False
True
A simulation is "Monte Carlo" when the elements of a system being simulated exhibit chance in their behavior. Select one: True False
True
Disaggregation is the process of breaking the aggregate plan into greater detail; one example of this detail is the master production schedule. Select one: True False
True
If demand exceeds supply in a transportation problem, the problem must be balanced by adding a dummy source with additional supply. Select one: True False
True
If the mean time between failures has been calculated to be 2,000 hours, then FR(N) = 0.0005 failures/unit-hour. Select one: True False
True
In sensitivity analysis, a zero shadow price (or dual value) for a resource ordinarily means that the resource has not been used up. Select one: True False
True
In the M/M/1 waiting line model with an arrival rate of 2 per hour and a service rate of 6 per hour, the utilization factor for the system is approximately 0.333. Select one: True False
True
Linear programming helps operations managers make decisions necessary to make effective use of resources such as machinery, labor, money, time, and raw materials. Select one: True False
True
One reason for using simulation rather than an analytical model in an inventory problem is that the simulation is able to handle probabilistic demand and lead times. Select one: True False
True
A transportation problem has an optimal solution when: Select one: a. all of the improvement indices are greater than or equal to zero. b. all demand and supply constraints are satisfied. c. the number of filled cells is one less than the number of rows plus the number of columns. d. all the squares are used. e. all origin-destination combinations have been made equally low in cost.
a. all of the improvement indices are greater than or equal to zero.
What is the process that involves repair on an emergency or priority basis? Select one: a. breakdown maintenance b. emergency maintenance c. failure maintenance d. preventive maintenance e. priority maintenance
a. breakdown maintenance
A maximizing linear programming problem has two constraints: 2X + 4Y ≤ 100 and 3X + 10Y ≤ 210, in addition to constraints stating that both X and Y must be nonnegative. What are the corner points of the feasible region of this problem? Select one: a. (0, 0), (50, 0), (0, 21), and (20, 15) b. (0, 0), (70, 0), (25, 0), and (15, 20) c. (20, 15) d. (0, 0), (0, 100), and (210, 0) e. (0, 0), (0, 25), (50, 0), (0, 21), and (70, 0)
a. (0, 0), (50, 0), (0, 21), and (20, 15)
What is the reliability of a four-component product, with components in series, and component reliabilities of .90, .95, .98, and .99? Select one: a. 0.8295 b. 0.90 c. 0.955 d. 0.99 e. 0.945
a. 0.8295
Ten high-technology batteries are tested for 200 hours each. One failed at 20 hours; another failed at 140 hours; all others completed the test. FR(%) is ________ and MTBF is ________. Select one: a. 20%; 880 hours b. 10%; 1980 hours c. 20%; 1760 hours d. 20%; 1000 hours e. 80%; 920 hours
a. 20%; 880 hours
There are four possible outcomes for a Monte Carlo simulation variable (A, B, C, and D). The random numbers 02, 22, 53, and 74 correspond to the variables ________, respectively, if each possible outcome has an equivalent chance of occurring. Select one: a. A A C C b. B B D D c. A B C D d. D C B A e. A A C D
a. A A C C
If cars sell for $500 profit and trucks sell for $300 profit, which of the following represents the objective function? Select one: a. Maximize profit = 500C + 300T b. Minimize profit = 500C + 300T c. Maximize profit = 500C - 300T d. Minimize profit = 300T - 500C e. Maximize profit = 800(T + C)
a. Maximize profit = 500C + 300T
The list of 5Ss, although it looks like a housekeeping directive, supports lean production by: Select one: a. identifying non-value items and removing them, in the "sort/segregate" category. b. reducing inventory, in the "standardize" category. c. increasing variability through standardized procedures, in the "standardize" category. d. eliminating wasted motion through ergonomic studies, in the "support" category. e. building good safety practices, in the "shine/sweep" category.
a. identifying non-value items and removing them, in the "sort/segregate" category.
Which of the following is NOT a key benefit of MRP? Select one: a. increased quality b. better response to customer orders c. faster response to market changes d. improved utilization of facilities and labor e. reduced inventory levels
a. increased quality
In MRP, system nervousness is caused by: Select one: a. management's attempt to continually respond to minor changes in production requirements. b. the use of the lot-for-lot approach. c. management's marking part of the master production schedule as "not to be rescheduled". d. the use of phantom bills of material. e. management's attempt to evaluate alternative plans before making a decision.
a. management's attempt to continually respond to minor changes in production requirements.
Which of the following is NOT a disadvantage of simulation? Select one: a. time compression b. good simulation models can take a long time to develop c. repetitive approach d. all input must be user generated e. All of these are disadvantages to simulation.
a. time compression
A product has annual demand of 100,000 units. The plant manager wants production to follow a four-hour cycle. Based on the following data, what setup cost will enable the desired production cycle? d = 400 per day (250 days per year), p = 4000 units per day, H = $40 per unit per year, and Q = 200 (demand for four hours, half a day). Select one: a. $2.00 b. $7.20 c. $18.00 d. $64.00 e. $1,036.80
b. $7.20
A queuing model that follows the M/M/1 assumptions has λ = 2 and μ = 3. What is the average time in the system? Select one: a. 2/3 b. 1 c. 1.5 d. 2 e. 6
b. 1
A manager is applying the transportation model of linear programming to solve an aggregate planning problem. Demand in period 1 is 100 units, and in period 2, demand is 150 units. The manager has 125 hours of regular employment available for $10/hour each period. In addition, 50 hours of overtime are available for $15/hour each period. If holding costs are $2 per unit each period, how many hours of regular employment should be used in period 1? (Assume demand must be met in both periods 1 and 2 for the lowest possible cost and that production is 1 unit per hour.) Select one: a. 100 b. 125 c. 150 d. 50 e. None of these
b. 125 Trick question lots of extra info to distract you from the main point. only asking for hours of regular employment
A linear programming problem contains a restriction that reads "the quantity of Q must be no larger than the sum of R, S, and T." Formulate this as a linear programming constraint. Select one: a. Q + R + S + T ≤ 4 b. Q ≥ R + S + T c. Q - R - S - T ≤ 0 d. Q / (R + S + T) ≤ 0 e. Q ≤ R + Q ≤ S + Q ≤ T
b. Q ≥ R + S + T
A shadow price (or dual value) reflects which of the following in a maximization problem? Select one: a. the marginal gain in the objective realized by subtracting one unit of a resource b. the market price that must be paid to obtain additional resources c. the increase in profit that would accompany one added unit of a scarce resource d. the reduction in cost that would accompany a one unit decrease in the resource e. the profit contribution necessary for that item to be included in the optimal solution
c. the increase in profit that would accompany one added unit of a scarce resource
The main difference between the intuitive lowest-cost method and the northwest-corner rule is that: Select one: a. the intuitive lowest-cost method always generates a better solution. b. the northwest-corner rule is faster. c. the northwest-corner rule ignores cost. d. only the intuitive lowest-cost method generates an optimal solution. e. None of these is accurate.
c. the northwest-corner rule ignores cost.
One of the advantages of simulation is that: Select one: a. managers must generate all of the conditions and constraints for solutions that they want to examine. b. it always generates a more accurate solution than a mathematical solution would. c. the policy changes may be tried without disturbing the real-life system. d. model development is less time consuming than for mathematical models. e. model solutions are transferable to a wide variety of problems.
c. the policy changes may be tried without disturbing the real-life system.
Which of the following is NOT information needed for a transportation problem? Select one: a. the cost of shipping one unit from each origin to each destination b. the set of destinations and the demand at each c. the set of origins and the demand at each origin d. the list of sources and the capacity at each e. None of these is needed.
c. the set of origins and the demand at each origin
A system has three components in parallel with reliabilities 0.9, 0.7, and 0.5. What is the system reliability? Select one: a. 0.315 b. 0.700 c. 0.900 d. 0.985 e. 2.100
d. 0.985
A distribution of service times at a waiting line indicates that service takes 6 minutes 30 percent of the time, 7 minutes 40 percent of the time, 8 minutes 20 percent of the time, and 9 minutes 10 percent of the time. In preparing this distribution for Monte Carlo analysis, the service time of 8 minutes would be represented by what random number range? Select one: a. 20 through 40 b. 21 through 40 c. 70 through 90 d. 71 through 90 e. 01 through 20
d. 71 through 90
Dependent demand and independent demand items differ in that: Select one: a. for any product, all components are dependent-demand items. b. the need for independent-demand items is forecast. c. the need for dependent-demand items is calculated. d. All of these are true. e. None of these is true.
d. All of these are true.
The seven steps in the use of simulation include all EXCEPT which of the following? Select one: a. Define the problem. b. Construct a numerical model. c. Introduce important variables associated with the problem. d. Find the optimal solution. e. Run the experiment.
d. Find the optimal solution.
Which of the following is true regarding total productive maintenance (TPM)? Select one: a. TPM is concerned with machine operation, not machine design. b. Field service and depot service perform virtually all maintenance and repair activities. c. Operators run their machines, but maintenance departments maintain them. d. TPM reduces variability through autonomous maintenance and excellent maintenance practices. e. TPM views maintenance and repair as tactical issues, not strategic ones.
d. TPM reduces variability through autonomous maintenance and excellent maintenance practices.
A linear programming problem has two constraints 2X + 4Y ≥ 100 and 1X + 8Y ≤ 100, plus nonnegativity constraints on X and Y. Which of the following statements about its feasible region is TRUE? Select one: a. There are four corner points including (50, 0) and (0, 12.5). b. The two corner points are (0, 0) and (50, 12.5). c. The graphical origin (0, 0) is in the feasible region. d. The feasible region is triangular in shape, bounded by (50, 0), (33.3333, 8.3333), and (100, 0). e. The feasible region cannot be determined without knowing whether the problem is to be minimized or maximized.
d. The feasible region is triangular in shape, bounded by (50, 0), (33.3333, 8.3333), and (100, 0).
It is week 1 and there are currently 20 As in stock. We need 300 As at the start of week 5. If there are scheduled receipts planned for week 3 and week 4 of 120 As each and A has a lead time of 1 week, when and how large of an order should be placed to meet the requirement of 300 As? Select one: a. Week 1, 300 As b. Week 1, 40 As c. Week 5, 40 As d. Week 4, 40 As e. Week 4, 300 As
d. Week 4, 40 As
Which of the following aggregate planning strategies is a capacity option? Select one: a. influencing demand by changing price b. counterseasonal product mixing c. influencing demand by extending lead times d. changing inventory levels e. influencing demand by back ordering
d. changing inventory levels
The corner-point solution method requires: Select one: a. identifying the corner of the feasible region that has the sharpest angle. b. moving the iso-profit line to the highest level that still touches some part of the feasible region. c. moving the iso-profit line to the lowest level that still touches some part of the feasible region. d. finding the coordinates at each corner of the feasible solution space. e. None of these
d. finding the coordinates at each corner of the feasible solution space.
A system is composed of three components A, B, and C. All three must function for the system to function. There are currently no backups in place. The system has a reliability of 0.966. If a backup is installed for component A, the new system reliability will be: Select one: a. unchanged. b. less than 0.966. c. greater than it would be if a backup were also installed for component B. d. greater than 0.966 e. None of these
d. greater than 0.966
A firm uses the chase strategy of aggregate planning. It produced 1000 units in the last period. Demand in the next period is estimated at 800, and demand over the next six periods (its aggregate planning horizon) is estimated to average 900 units. Which of the following tactics would be most representative of following a chase strategy? Select one: a. add 100 units to inventory in the next period b. add 200 units to inventory in the next period c. hire workers to match the 100-unit difference d. lay off workers to match the 200-unit difference e. implement a lower price point to increase demand
d. lay off workers to match the 200-unit difference
